LOWA Board of Directors Meeting Minutes for 2009

LAKE OF THE WOODS ASSOCIATION, INC.
Board of Directors Meeting
January 3, 2009, 10:00 a.m., Community Center

1. With a quorum present, President Bill Wilson called the meeting to order at 8:00      a.m. in the Community Center.

2. Executive Session: 
Motion by Williams, second by Kay, passed unanimously, to enter into Executive Session at 8:01 a.m.

Motion by Flynn, second by Williams, passed unanimously, to enter into Open Session at 10:02 a.m., and to affirm that the Board met earlier today in Executive Session, and only discussed topics regarding personal, personnel, contractual and/or legal matters.

3. Approval of Agenda:
Motion by Kay, second by Williams, to approve the Agenda.  Motion by Williams, second by Kay, passed unanimously, to amend the agenda with the addition of Item 16.2: Consideration of Easements with RSA.

4. Approval of Minutes of December 6, 2008. 
Motion by Darby, second by Kay, passed unanimously, to approve the minutes of December 6, 2008. 

5. Report from O.C. District 5 Supervisor:
Supervisor Lee Frame reported that the Supervisors have approved the creation of a new jail authority.  A tax exemption has been granted to the James Madison Museum, valued at $1600/year.  The Central Virginia Battlefield Trust has been donated two land parcels on Rte. 20 for which they would also like to receive a tax exemption; Orange County will work with them to rezone the land back from commercial to agricultural so an exemption can be granted. The Board will be considering construction bids for the new middle school this month.  The average bid was in the area of $30 million, signifi-cantly lower than expected. He mentioned he thinks there are enough votes on the Board in favor of the proposed Walmart at Rtes.3/20 at this time.
6. Report from O.C. Sheriff’s Office:  No report was available.

7. Report from Chief of Security:  Security Chief George Dodson reported that during the month of December there were 98 summonses issued and staff responded to 166 calls for service. There were 13 animal complaints, 7 of which were dogs running at-large. A summons was issued for soliciting. There were 19 assists and 5 noise complaints. A few boats were loosed from moorings during the recent windstorm, and had to be recovered. A missing juvenile was found and returned home. There were 8 vandalism incidents which included a stolen bike, broken window, paintball damage, theft of a holiday yard decoration, damage to a gazebo and a sailboat dolly, and damage to the restrooms in Sweetbriar Park. Overall, it was a relatively quiet holiday season. 
  
8. Report from LOW Fire & Rescue: Chief Joe Argenzio reported that during December the Fire Department had 39 fire calls, 18 inside LOW and 21 outside. Rescue responded to 95 calls, 59 inside LOW and 36 in the county.  He thanked members for supporting their holiday tree sale. Profits go toward purchasing new equipment for the volunteer staff, as it can cost over $2000 to outfit one firefighter. Annual fund drive donations were received from 24% of members this year, versus 22% last year.  

9. Report from Orange County School Board Representative:  Representative Jim Hopkins reported that the School Board will start interviewing candidates to select a new school superintendent in the next two weeks. There were 24 applicants. There will be a joint meeting of the School Board with the OC Board of Supervisors on January 6 to consider signing a contract with Kenbridge Construction to build the new middle school.

10. Reports of Officers:
President Wilson reported that the Board met twice in Executive Session in December to interview accounting firms that specialize in homeowner association management, with a consideration for outsourcing this function. No decision has been made.

The plans for the state-mandated modifications for our dam to withstand a 10,000 to 1 million-year flood event (37 inches in 24 hours) have been submitted. 
He said the final disposition of the Compactor site will be voted on by the Board today.

Our contract with Dodson Security will be up for renegotiation this spring.  A committee consisting of Peter Williams, Lynn Huntsman, Margaret Darby, Tom Eales and Bill Grogan will be reviewing and processing six applications from security firms who are interested in providing security services. Three firms will be among the final candidates, including Dodson Security.

This morning the Board discussed in Executive Session the feasibility of dividing the Association’s legal work between our current firm, Somerville, Carter and Wilkinson, who will be retained for Orange County related matters, and another firm, Whiteford, Taylor and Preston, a firm specializing in homeowner association law. This matter will probably be voted on at our next Board meeting.

Vice President Flynn reported he had no committee changes to announce this month.

Treasurer Kelly’s report for the seven-months ended November 30, 2008 is attached as
(D-09-01). 

Briefly, Mrs. Kelly noted that actual revenue was ahead of expenses by about $815,000; however, she did not think it prudent to project numbers to the end of December at this time. She felt LOWA will successfully weather the recession because we have taken the steps needed to cover our expenses and preserve our cash positions.  

Motion by Darby, second by Kay, passed unanimously, to bar Dionne DeTouch, Mithun Bronwyn, Renate Revell, Ryan Rife-Haywood and Matthew Vargas from LOW until their fines are paid in full.

Motion by Darby, second by Williams, passed unanimously, to suspend the driving privileges within LOW of Jeremy Brown and Steven Horwath for 90 days.

Motion by Darby, second by Buttimer, passed unanimously, to suspend the driving privileges of one unnamed juvenile for two consecutive 60-day periods.   

11. Report of General Manager: Mr. John Bailey reported that some new computer servers have been installed in-house. Six proposals have been received for the Security evaluation contract. LOWA is submitting plans this week to DCR for a gated spillway on our main dam, 150-feet in width.  We are still negotiating with the state on the issue of draw-down being used as part of the design criteria to meet full PMF requirements. The SWCB will be meeting the end of this month. 

12. Report of Legal Counsel: Mr. Wilkinson had no report.

13. Committee Reports:  There were no committee reports. 

14.  Member Comments on Business Agenda: There were nine members who provided comments, with about half speaking in favor of retaining the compactor at its current location inside LOW, and half speaking in favor of moving it to land adjacent to the new middle school on Rte. 601.  Director Darby advised that the Board had received several e-mails from members on this matter and the majority were in favor of moving the compactor. 

15. UNFINISHED BUSINESS   There was no unfinished business.

16. NEW BUSINESS

16.1 Consideration of Relocation of the Compactor Site. (D-09-02)
Motion by Buttimer, second by Williams, passed unanimously, to recommend to the Orange County Board of Supervisors that the trash compactor site be placed near the new middle school off Route 601.

Mr. Buttimer then read a resolution from the LOWA Board, to be signed by the Board President, announcing the decision of the Board to recommend the site on Rte 601 as the new location for the county compactor site.

16.2 Consideration of Assigning Property Easements to RSA. (D-09-03)
Motion by Kay, second by Williams, passed unanimously, to authorize the President to sign the proposed property easements on Lot 198, Section 6 and Lot 47, Section 6 over to RSA. (This action allows RSA the right to extend the water and sewer systems to the proposed new middle school at no cost to LOW.  This will actually improve water capacity and flow for LOW residents in the easement area and provide additional outflow of sewage away from the lake.)

17. Scheduled Meetings:
Board Workshop: Wednesday, January 21, 2009 at 2:00 p.m. in the lower level of the Clubhouse.  Agenda to include: Board member suggestions for budget changes.  There will be an Open Meeting of the Board following the Workshop.

Monthly Board Meeting: Saturday, February 7, 2009 at 10:00 a.m. in the Community Center

18. General Member Comments included praise for Dodson Security’s staff and their past performance and the need for the Security services selection group to consider the substantial learning curve a new Security provider would experience; a concern about the seemingly excess number of cars parked in front of some LOW homes, which should be addressed; a member who felt our assessments should be increased and a two-tier assessment scale be adopted, such that new residents, be they owners or renters, pay a higher assessment fee which might improve the appearance of individual homes and lots; and a question on what the training and experience requirements are to be appointed to the Environmental Control Committee, with the opinion that untrained individuals should not be making environmental decisions that can cause serious health issues for residents.   

19. Adjournment:  Motion to adjourn passed unanimously at 11:22 a.m.

Margaret Darby, LOWA Secretary

LAKE OF THE WOODS ASSOCIATION, INC.
Board of Directors Meeting
January 21, 2009, 4:15 p.m., Clubhouse

Call to Order
With a quorum present, President Wilson called the meeting into Open Session at 4:15 p.m., following the Board Workshop, in the lower level of the Clubhouse.

1.  Consideration of Funding Next Actions of the Quality Management Committee.
This item was removed from the agenda. (The Assistant GM recommended the Board postpone any action until a decision is made regarding the contracting out of the Accounting Department functions.)

2.  Consideration of Next Steps Relating to the Velona-Long Building.
Motion by Kay, second by Flynn, to give the Lions Club 12 months to vacate the Velona and Ferris buildings.  Vote: Yea: Kay.  Nay: Flynn, Darby, Buttimer, Williams, and Sheridan.  Motion failed.

Motion by Buttimer, second by Kay, passed unanimously, to table this item until the March 2009 Board Meeting.

3.  Executive Session
Motion by Flynn, second by Darby, passed unanimously, to enter into Executive Session at 4:43 p.m., for the purpose of discussing several personal, personnel, contractual and/or legal matters.

4. Adjournment: With a motion by Williams, President Wilson adjourned the meeting at 5:07 p.m.

Margaret Darby, LOWA Secretary

LAKE OF THE WOODS ASSOCIATION, INC.
Board of Directors Meeting
February 7, 2009, 10:00 a.m., Community Center

1. Call to Order:
    With a quorum present, President Bill Wilson called the meeting to order at 8:00 a.m. in the Community Center.

2. Executive Session: 
    Motion by Sheridan, second by Williams, passed unanimously, to enter into Executive Session at 8:02 a.m.
    Motion by Kay, second by Sheridan, passed unanimously, to enter into Open Session at 10:05 a.m., and to affirm that the Board met earlier today in Executive Session, and only discussed topics regarding personal, personnel, contractual and/or legal matters.

3. Approval of Agenda:
    Motion by Buttimer, second by Williams, to approve the Agenda.  Motion by Williams, second by Kay, to amend the Agenda by addition Item 15.4A: Consideration of Funding of Consultation Services for the Quality Management Council.  Motion by Kay, second by Williams, passed unanimously to approve the Agenda as amended. 

4. Approval of Minutes of January 3, 2009 and January 21, 2009. 
    Motion by Sheridan, second by Kay, passed unanimously, to approve the minutes of January 3, 2000 and January 21, 2009. 

5. Report from O.C. District 5 Supervisor:  No report was available.

6. Report from O.C. Sheriff’s Office:  Sheriff Mark Amos gave the statistics report for the month of January.  In Orange County, there were 3060 calls for service, 80 warrants and 981 civil papers served, 22 criminal transports and 367 summonses issued.  In LOW, there were 65 calls for service, 54 civil papers served and 55 traffic tickets issued on Route 3.

Sheriff Amos reported on several outstanding cases being worked, including
indictments involving juveniles.  A stolen vehicle around the Somerville Road area was recovered in Culpeper. Community Night will be at LOW on February 25, 6:30-8:30 pm at the Woods Center to promote two programs, CrimeSolvers and Neighborhood Watch.

Another Police Academy class will start March 17 at Germanna Community College. Applications can be picked up at the Holcomb Building. 

The Sheriff’s office is expecting severe budget cuts and this could affect many of their programs.  To help mitigate the losses, they will be holding a number of fundraising activities: a benefit basketball game on March 21 between the cops and teachers, and a golf tournament on May 11. He also said that a truck for shredding documents will be coming to Market Center on Rte. 20 and will have a donation jar there if anyone wishes to contribute to the Sheriff’s fund. A new patrol officer will be joining the staff soon. 

7. Report from Chief of Security:  Mr. Dodson reported that in January there were several complaints of children with dogs venturing onto the ice.  Two juveniles were arrested for vandalism.  Two blown transformers were reported.  There was one arrest for DWI.  A missing juvenile was located and returned home.  The rear gate arm was broken by a motorist who was fined.  There were 20 animal complaints with one summons issued. There were 7 noise complaints, 7 welfare checks, 11 assists and 4 house alarms.  There were 8 complaints of sledding on the dam and several vehicles stuck in the snow.  A window was broken at the Community Center and report of a stolen yard sign.
Overall there were 198 calls for service, and 36 summonses were issued in January. 

8. Report from LOW Fire & Rescue:  Mr. Joseph Argenzio reported that in January there were 44 calls to the Fire Department and 87 to Rescue.  The Annual Fund Drive raised $128,000, representing 24% of homes donating.  The F&R annual payment for just the new firehouse is $127,000.  This means that funds for maintenance and equipment are very low.  He announced he will be stepping down as President of Fire and Rescue, and introduced the new President Tom Cornell, and fellow officers Fire Chief Bruce Willets and Rescue Captain Benny Taylor.  

9. Report from Orange County School Board Representative:  Jim Hopkins reported that the School Board has been working on the budget and will present it to the Supervisors on February 17.  Expenses need to be reduced by $2.2 million.  There will be no salary increases this year, but 80% of expenses are staff salaries, which makes it hard to find areas to cut.  On February 17 at 7:15 pm, the Civic Club will be hosting a presentation and slide show on the new middle school at the Woods Center.    
 
10. Reports of Officers:
      President Wilson chose not to give a report due to the long business agenda.      
      Motion by Flynn, second by Sheridan, passed unanimously, to accept the following Committee changes:  (D-09-04)

Treasurer Kelly’s most recent report is attached as (D-09-05). 

Briefly, she mentioned the need to make cuts in the budget in order to avoid deficits by the end of the fiscal year.  She reported that our accounting software needs to be updated and a new accounting system identified that better meets our current needs.  The Board is considering outsourcing this function. 

Motion by Darby, second by Kay, passed unanimously, to bar the following individuals from LOW until their fines are paid in full: Steven Bradley, Alimany Kamara, Jamie Keaton, Kimberly Lux, Raymond Soto and Phillip VanLandingham.

Motion by Darby, second by Buttimer, passed unanimously, to grant the appeal of Gaubriel Lowe.

Motion by Darby, second by Williams, passed unanimously, to grant the appeal of John Harn.

Motion by Darby, second by Kay, passed unanimously, to suspend the LOW driving privileges of Ryan Brown, Christopher Love, Jessica Marshall and Anna Russo.

Motion by Darby, second by Kay, passed unanimously, to suspend the driving privileges within LOW of Lisa Shackelford, Bernard Washington and Adam Qualters, until they receive approved driving licenses from the state, and for a period of 90 days thereafter. 

11. Report of General Manager: John Bailey reported that the SWCB approved a two-year extension of our conditional operation certificate, and also approved an alteration permit on the proposed gate system, allowing us to reach a full PMF. We have two years to complete that work.  Current estimated cost of the work is $5.6 million.  He reviewed possible funding sources and expected timeframe for completion.  More details will be provided in the next issue of Lake Currents.  A new floor has been installed in the Great Hall at the Clubhouse, to replace the one damaged by water from a broken pipe. This was covered by our insurance.

12. Committee Reports: There were no Committee reports. 

13.  Member Comments on Business Agenda:  Three members gave their views on whether the Board should vote to pay off the Community Center loan and how to handle reserves accordingly. One member felt a legal presence at every Board meeting should continue. Another member felt the consideration of work on the parking lot has not been thoroughly discussed and researched to be approved at this time. Another member warned that we risk paying for lot clean-ups when circumstances may not allow the owner to reimburse LOWA.

14. UNFINISHED BUSINESS

14.1  Consideration of Addition of LOWA Regulation Section IV.C.5: Individual Behavior-Use of Firearms and Related Items. (Second Reading) Topic: Archery
(D-09-06)
Motion by Williams, second by Kay, to adopt the proposed change to Regulation Section IV.C.5: Individual Behavior—Use of Firearms.

Motion by Buttimer, second by Kay, to amend the Regulation to say such archery equipment is not allowed to be used “except with the approval of the General Manager.”
Vote on the amendment to the motion: Yea: Buttimer, Williams and Sheridan.  Nay: Flynn, Kay and Darby.  Motion failed.

Motion on the original motion:  Yea: Darby, Kay, Flynn and Williams: Nay: Buttimer and Sheridan.  Motion passed.

14.2 Consideration of Changes to LOWA Regulation Section VIII: Use of the Clubhouse. (Second Reading) (D-09-07)
Motion by Darby, second by Kay, passed unanimously, to adopt the proposed change to Regulation Section VIII: Use of the Clubhouse.

14.3 Consideration of Changes to LOWA Regulation Section V.E.9: Posts with House Numbers. (Second Reading) (D-09-08)
Motion by Williams, second by Buttimer, to adopt the proposed change to Regulation V.E.9: Posts with House Numbers.

Motion by Darby, second by Buttimer, to amend the Regulation to delete the sentence “If the lot owner does not elect to use the Lions Club at LOW for post installation, the specific design and location of the post or other structure shall be submitted to ECC for approval with its planned location on a plot plan.”

Vote on amendment to the motion was unanimous.

Motion by Buttimer, second by Flynn, passed unanimously, to amend the motion by changing the date of compliance from May 1, 2009 to October 1, 2009.

Vote on the original motion as amended was unanimous.

15. NEW BUSINESS

15.1 Consideration of Authorization to Enter Lots to Bring into Compliance. (D-09-09)
Motion by Flynn, second by Williams, passed unanimously, to authorize Maintenance to enter into the following properties to bring them into compliance, and direct that the owners be billed for any expense incurred: Section 6, Lot 54; Section 6, Lot 183, and Section 9, Lot 79.

15.2 Consideration of the Adoption of Virginia Boating Safety Education Requirement as part of the Regulations. (D-09-10)
Motion by Buttimer, second by Kay, passed unanimously, to direct the Rules Com-mittee work in conjunction with the Lake Users Committee to formulate an amendment to the LOWA Regulations adopting the Virginia Boating Safety Requirement.

15.3  Consideration of Retaining the Services of the Law Firm of Whiteford, Taylor & Preston, LLP.  (D-09-11)
Motion by Kay, second by Darby, passed unanimously, to approve the engagement of the law firm Whiteford, Taylor & Preston, LLP, for legal services of the Association.

15.4 Consideration of Security Contract.
Motion by Williams, second by Kay, passed unanimously, to postpone the consideration of the Security Contract to the March 7, 2009 Board meeting. 

15.4A. Consideration of Funding for Consultation Services to the Quality Management Council.  (D-09-12)
Motion by Williams, second by Sheridan, to approve funding in the amount of $24,000 out of the General Manager’s 2008 Contingency Fund for consultant services for the Quality Management Council and the Association.  Vote: Yea: Darby, Williams, Kay, Sheridan and Buttimer.  Nay: Flynn.  Motion passed.

15.5 Consideration of Fiscal Year 2009 Budget Amendments. (D-09-13)

Amendments to the 2009 Budget were proposed as follows:

1.  Motion by Kay, second by Darby to pay off the Community Center Loan in the amount of $815,000, effective April 30, 2009. Vote: Yea: Darby, Kay and Flynn. Nay: Williams, Buttimer and Sheridan.  President Wilson voted “yea” to break the tie.  Motion passed.

2. Motion by Buttimer, second by Williams, to increase the Contribution to New Capital by $138,230, which includes interest of 5%, for a period of seven years in order to replenish the Replacement Reserves.
Motion by Sheridan, second by Flynn, passed unanimously, to change “New Capital” to “Replacement Capital”.
Vote on original motion as amended: Yea: Williams, Buttimer and Sheridan. Nay: Kay, Darby and Flynn.  President Wilson voted “yea” to break the tie.  Motion passed.

3. Motion by Darby, second by Kay, passed unanimously, to delete Interest Expense for the Community Center Loan in the amount of $16,300. 

4. Motion by Sheridan, second by Kay, passed unanimously, to increase revenue for Service Charges by $38,000, in recognition of the Board’s December approval to again offer semi-annual assessment payments to our membership. 

5. Motion by Kay, second by Darby, to keep the user fees the same as in Fiscal 2008. Vote:Yea: Kay, Darby, Sheridan, Williams and Flynn. Nay: Buttimer. Motion passed.

6. Motion by Kay, second by Darby, passed unanimously, to reduce the Road Fees to their Fiscal Year 2007 level.

7. Motion by Buttimer, second by Williams, to set the FY-2009 payroll, to include all line items related to personnel pay and benefits, at a total of $2,969,695, and to authorize the General Manager to use said funds for personnel needs as he and the management team so determine. 

Motion by Sheridan, second by Kay, passed unanimously, to remove the wording “to use said funds for personnel needs as he and the management team so determine” and replace with “to use said funds at no more than FY-2008 and full-time head count levels for personnel needs and as the management team determines.”

Motion by Flynn, second by Darby, to amend total payroll figure from $2,969,695 to $2,869,695.  Vote: Yea: Kay, Darby and Flynn.  Nay: Buttimer, Williams and Sheridan.  Motion failed. 

Motion by Kay, second by Darby, to amend the total payroll figure from $2,969,695 to $2,944,695.  Vote: Yea: Darby, Sheridan, Williams, Kay and Flynn.  Nay: Buttimer.  Motion passed.

Vote on the original motion as amended passed unanimously. 

8.  Motion by Williams, second by Kay, passed unanimously, to reduce the Security Budget by $44,000. 

9.  Motion by Darby, second by Kay, to reduce the Contingency Fund by $40,000. 
Vote: Yea: Darby and Flynn. Nay: Williams, Buttimer, Sheridan and Kay. Motion failed.

10. Motion by Flynn, second by Williams, to reduce the Contingency Fund by $20,000.
Motion by Sheridan, second by Kay, to increase the Contingency Fund to $110,000 from the budgeted $60,000, to go into the Restricted Reserves of which the General Manager can only use $50,000. Vote: Yea: Sheridan.  Nay: Buttimer, Williams, Darby, Flynn and Kay.  Motion failed.

Vote on original motion: Yea: Darby, Flynn and Kay.  Nay: Williams, Buttimer and Sheridan.  Motion failed.

11. Motion by Kay, second by Sheridan, to increase the Contribution to New Capital by $175,000, and to add “Reconfiguring of the Front Gate Area” to the list of New Capital items to be accomplished in FY-2009. 
Motion by Flynn, second by Darby, to amend the motion to change”$175,000” to “$100,000”, and change “FY-2009” to “FY-2010”. Vote: Yea: Buttimer, Darby, Flynn, Williams and Kay. Nay: Sheridan.  Motion passed.
Vote on original motion as amended: Yea: Williams, Darby, Flynn and Kay.  Nay: Buttimer and Sheridan.  Motion passed.

12. Motion by Kay, second by Flynn, to add “New Community Parking Lot” in the amount of $18,000 to the list of New Capital items to be accomplished in FY-2009.  Vote: Yea: Sheridan.  Nay: Darby, Kay, Williams, Buttimer and Flynn.  Motion failed.

13. Motion by Williams, second by Kay, to approve the changes to the proposed budget as recommended by the General Manager in his memorandum dated January 30, 2009, and as amended by his supplemental memo.

Motion by Darby, second by Kay, to table the motion for consideration at the February Board Workshop.  Vote: Yea: Darby, Sheridan and Flynn.  Nay: Buttimer, Williams and Kay. President voted “yea” to break the tie.  Motion passed. 

15.6 Consideration of Fiscal Year 2009 Assessment.
Motion by Kay, second by Darby, passed unanimously, to table any motion to set the final budget assessment fee until Wednesday, February 25 at 2:00 pm in the lower level of the Clubhouse.

16. General Member Comments:  A member questioned the reason for cutting the Security budget (Security was over-budgeted by $44k when compared to bids received); one member felt that the covenant on “Right of First Refusal” should be dropped (Note: a referendum on this item was rejected by the membership in the recent past); a member addressed the food costs at the Clubhouse and other cost-saving measures; and one member said she would be willing to pay an increased assessment fee to replenish reserves. 

17. Scheduled Meetings:
Board Workshop: Wednesday, February 25, 2009 at 2:00 p.m. in the lower level of the Clubhouse: Open Session following to finalize budget.
Regular Monthly Board Meeting: Saturday, March 7, 2009 at 10:00 a.m. in the Community Center

18. Adjournment:  Motion to recess passed unanimously at 1:50 p.m., with plans for the Board to reconvene on Wednesday, February 25, 2009 at 2:00 p.m. in the lower level of the Clubhouse.

Margaret Darby, LOWA Secretary

LAKE OF THE WOODS ASSOCIATION, INC.
Board of Directors Meeting
February 25, 2009, 2:00 p.m., Clubhouse

1. Executive Session
With a quorum present, President Wilson called the meeting to order at 12:40 p.m. in the Clubhouse.

Motion by Williams, second by Sheridan, passed unanimously to enter into Executive Session at 12:41 p.m.

2. Open Session
Motion by Darby, second by Kay, passed unanimously, to enter into Open Session at 2:04 p.m., and to affirm that the Board met in Executive Session earlier today to discuss several contractual, personal, personnel and/or legal matters.

Motion by Kay, second by Buttimer, passed unanimously, to reconvene the Board meeting recessed on February 7, 2009.

15.5 Consideration of  Fiscal Year 2009 amendments. (D-09-13)

14. Motion by Kay, second by Sheridan, passed unanimously, to reconsider the $100,000 in New Capital allocated for the front gate in the budget.

15. Motion by Kay, second by Williams, passed unanimously, to remove the $100,000 in New Capital for the front gate from the Fiscal 2009 budget.

15.6 Consideration of Adoption of the Fiscal Year 2009 Assessment Fee. (D-09-14)
Motion by Kay, second by Flynn, passed unanimously, that the Board set the Assessment Fee for Fiscal Year 2009 at $1137, effective May 1, 2009.

15.7 Consideration of Allowing Members to Pay Assessment Fees by Credit Card. (D-09-15)
Motion by Kay, second by Darby, to authorize the General Manager to enter into a contract with a financial institution for the purpose of allowing members to use credit cards to pay their assessments. Vote: Yea: Darby, Buttimer, Williams, Flynn and Kay. Nay: Sheridan. Motion passed.

3.  Member Comments: 
Several members asked questions on the use of credit cards, confirming usage will also be allowed for amenity fees.

Mr. Lewis announced this year’s Fishing Tournament would be held on Saturday, May 30 with a rain date of June 6. 

4.  Adjournment
Motion by Kay, second by Darby, passed unanimously, to adjourn the meeting at
2:22 p.m.

Margaret Darby, LOWA Secretary

LAKE OF THE WOODS ASSOCIATION, INC.
Board of Directors Meeting
March 7, 2009, 10:00 a.m., Community Center

1. Call to Order:
With a quorum present, President Bill Wilson called the meeting to order at 8:00 a.m. in the Community Center.

2. Executive Session: 
Motion by Kay, second by Williams, passed unanimously, to enter into Executive Session at 8:01 a.m.

Motion by Buttimer, second by Williams, passed unanimously, to enter into Open Session at 10:03 a.m., and to affirm that the Board met earlier today in Executive Session, and only discussed topics regarding personal, personnel, contractual and/or legal matters.

3. Approval of Agenda:
Motion by Sheridan, second by Kay, passed unanimously, to approve the Agenda, with the addition of Items 15.3: Consideration of Action in Relation to Section 10, Lot 238 on Yorktown Boulevard; and Item 15.4: Consideration of Action Relating to Employee Working Hours.

4. Approval of Minutes of February 7, 2009, February 17, 2009 and February 25, 2009.
Motion by Darby, second by Kay, passed unanimously, to approve the minutes of February 7, 2009, February 17, 2009 and February 25, 2009. 

5. Report from O.C. District 5 Supervisor:  No report was available.

6. Report from O.C. Sheriff’s Office:  Sheriff Mark Amos reported that for the month of February, there were 2643 calls for service in Orange County, for a total of 5703 so far this year. In LOW there were 48 calls for service for a total of 113 year-to-date.  In the County, there were 39 warrants served, 1029 civil papers served (89 were in LOW), 16 transports performed, and 239 summonses issued.  On Route 3, there were 29 traffic tickets issued for a total of 84 year-to-date.

Sheriff Amos noted things have been relatively quiet of late.  A boat arson investigation in LOW resulted in a finding of faulty wiring.

The Sheriff’s Departments has received $45,250 in federal grant funds for law enforcement data sharing between Orange and several other counties.  The Department was asked to cut their budget for the coming year by 15%, which meant the elimination of four positions, two of which are uniform positions.  He hopes to be able to make changes such that no uniform positions are eliminated.

Rape, Aggression Defense (RAD) adult classes will be held April 20, 23 and 30 at Post Oak Middle School in the evening.  On May 16 there will be a shredder event from 11 am to 2 pm at Rtes. 20/611 for residents to shred confidential documents; donations will be appreciated. A benefit basketball game is scheduled for March 21.  

7. Report from Chief of Security: Chief George Dodson reported that for the month of February there were six cases of vandalism, 12 welfare checks (all OK), 25 dog complaints resulting in 3 summonses; 21 assist calls to law enforcement; two noise complaints; five domestic calls; two 911 hang-ups; six house alarms and two automobile accidents.  A summons was issued for a car parked overnight at the Edgehill mail station, and another summons for a car parked at the rear gate. One intoxicated person was taken into custody by Orange County.  A young teen reported missing was located. There were 72 summonses issued and 145 calls for service in February.  

8. Report from LOW Fire & Rescue:  Mr. Joe Argenzio reported that in February there were 28 calls to the Fire Department, and 59 calls to the Rescue Squad. 

9. Report from Orange County School Board Representative:  District 5 School Board Representative Jim Hopkins reported that the new budget is asking for a reduction of 34.5 positions in the school system, which includes 10 classroom teachers.  Most positions being cut will be in the central office, including the Assistant Superintendent position.  Maintaining student/teacher ratios is critical to receiving adequate state education funds.

A new Superintendent of Schools has been hired, Dr. Robert Gramercy, former superintendent at Allegheny County schools.  He comes with an excellent track record for seeing that schools meet the “No Child Left Behind” standards.

10. Reports of Officers:
President Wilson reported that the minimal increase in our 2009 assessment fee over last year could be used to cover the new costs associated with paying fees with a credit card.  Boat registration fees, however, must still be paid at the Security Building with either cash or check. It is a goal of the Board to provide online registration for assessments and amenities by 2010.

He noted that the Virginia legislation has passed their budget, part of which authorizes the Director of the Department of Recreation and Conservation “to make cost-effective financing available to Orange County or the dam owner for modifications necessary to the LOW dam to meet State dam safety requirement and to reduce the potential loss of life and damage to downstream property for this high-hazard dam with an inundation zone containing multiple dwellings and a major State highway. Such authority may be used to provide financial or other assistance from the Dam Safety Flood Prevention and Protection Assistance Fund to secure funding or provide a grant not to exceed $1 million.”  In essence, this means that LOWA administration, management and legal representatives are invited to meet with Virginia State representatives to flesh out the details of obtaining financing for our dam modifications.

Mr. Wilson announced that the Board will be voting today on the Security Services contract for the next 5 years, and due to the personal relationships and sensitivity of the issues involved, the Board will be voting on this motion using a paper ballot. He read a list of the pros and cons attributed to the two top security companies being considered, Dodson Security and United States Security Associates, Inc., that was submitted to the Board by the Security Contract Assessment Group. The difference between the contract quotes was $28,200.    

Motion by Flynn, second by Kay, passed unanimously, to accept the following Committee changes:  (D-09-16)

Treasurer Kelly’s most recent report is attached as (D-09-17). Briefly, Treasurer Kelly reported that management has made significant cuts in the 2008 budget to offset projected shortfalls, and LOWA could even see a small budget surplus by the end of FY 2008 on April 30.  The same strategies are being pursued for the FY 2009 budget.

Secretary Darby had no report.

11. Report of General Manager: General Manager John Bailey reported that the FY 2009 budget is in place, assessment packages will go out the beginning of April, and payment of assessment and amenity fees can be made by credit card starting this year. 

A state grant to help pay for dam alterations, as explained earlier by President Wilson, is being pursued by LOWA management. Major financial outlays for the dam are expected to start in August.

Assistant GM of Operations Ted Wessel reported that the Quality Management Council is moving forward.  Processes at the Holcomb Building are being evaluated by our consultant, along with project management procedures.  The next Council meeting will be held on March 19 at 1 pm at the Woods Center, and all interested members are encouraged to attend.

A new dredging permit has been signed and approved, and dredging operations can now resume.

12. Committee Reports: Planning Committee Chair Don Walters gave the Board an update on their activities. The annual survey is being reviewed by other LOWA committees for their input. A group is researching senior housing and talking with developers about options. The Land Use Study is well underway, and the Five-Year Plan subcommittee is working on years 2010-11.

Nominating Committee Chair Lynn Huntsman announced that Board candidates are needed for the next election, and encouraged interested members to fill out an application as soon as possible.  

13.  Member Comments on Business Agenda: One member asked if voting by paper ballot was a legitimate voting method.

14. UNFINISHED BUSINESS
 
14.1  Consideration of Next Steps Relating to the Velona-Long Building. (D-09-18)
Motion by Buttimer, second by Williams, passed unanimously, to permit the General Manager to enter into an agreement with the LOW Lions to lease the Velona-Long building to the Lions for a period of five years at the rate of $1.00 (one dollar) per year, with the provision that the Lions maintain the building in a manner acceptable to the General Manager.

15. NEW BUSINESS
 
15.1 Consideration of Security Services Contract. (D-09-19)
Motion by Williams, second by Darby, to authorize the General Manager to finalize negotiations with United States Security Associates, Inc., and enter into a contract for Security Services with said provider pending legal counsel’s review and approval.

Paper ballots were cast and handed to Secretary Darby, who announced the results of the vote as follows: Yea: 4. Nay: 2.  President Wilson then voted “yea”. Motion passed 5-2.

15.2 Consideration of Acceptance of Credit Cards for Collection of Annual Amenity Fees. (D-09-20)
Motion by Kay, second by Darby, passed unanimously, to authorize the acceptance of credit cards for payment of annual amenity fees (excluding boats), to be funded from the operating surplus from the FY 2008/09 budgets.

15.3 Consideration of Action in Relation to Section 10, Lot 238 on Yorktown Boulevard. (D-09-21)
Motion by Kay, second by Buttimer, passed unanimously, to authorize the General Manager to take whatever actions are necessary, including entering the property and any legal action, to secure the fire-damaged home at 408 Yorktown to make the property safe.

15.4 Consideration of Action Relating to Employee Work Hours. (D-09-22)
Motion by Kay, second by Flynn, passed unanimously, to establish all full-time employee work hours at 40 hours per week, effective May 1, 2009.

16. General Member Comments: A member asked the Board to consider a referendum to change the criteria for passage of referendum items from “a majority of the members” to “a majority of the members voting” due to the difficulty of passing referendum items when a significant number of members do not vote; a member inquired about the appropriateness of a fundraiser Bingo announcement submitted by the LOW Pre-School that appeared in the Free Lance-Star recently; another member asked for clarification on the affect of capital revenues on the budget; and one member mentioned that the study submitted by the Community Center Working Group on ways to ease the costs of running the Community Center had not yet been addressed by the Board.

17. Scheduled Meetings:
Board Workshop: Wednesday, March 18, 2009 at 2:00 p.m. in the lower level of the Clubhouse. Agenda to include: Community Center Working Group Report; poolhouse renovations; review of 2008/09 New Capital projects; and the auditor Request for Proposal.
Regular Monthly Board Meeting: Saturday, April 4, 2009 at 10:00 a.m. in the Community Center

18. Adjournment:  Motion by Kay, second by Darby, passed unanimously, to adjourn the meeting at 11:33 a.m.

Margaret Darby, LOWA Secretary

LAKE OF THE WOODS ASSOCIATION, INC.
Board of Directors Meeting
March 18, 2009, 2:00 p.m., Community Center

1. Executive Session:
With a quorum present, President Wilson called the meeting to order at 2:00 p.m. in the Community Center.

Motion by Kay, second by Darby, passed unanimously, to enter into Executive Session for the purpose of discussing legal and contractual matters.
Motion by Kay, second by Williams, passed unanimously, to enter into Open Session at 2:15 p.m.

2. Approval of Agenda:
Motion by Darby, second by Buttimer, to approve the agenda.  Motion by Kay, second by Flynn, passed unanimously, to amend the Agenda to remove Item 2: Consideration of Request to Subdivide Lot. Original motion as amended passed unanimously.

3. Business Agenda:
President Wilson explained that the paper ballot vote on the Security Services contract that took place on at the March 7, 2009 Board meeting did not satisfy Virginia State Homeowner Association regulations. Therefore, an open vote on this item will be taken today. 

4. Member Comments: Members present were invited to give their comments, to the Board on the Agenda. Comments were limited to two minutes per person, and the comment period lasted 50 minutes. 

5. Consideration of Security Services Contract. (D-09-19)
Motion by Williams, second by Darby, to authorize the General Manager to finalize negotiations with United States Security Associates, Inc. and enter into a contract for security services with said provider, subject to legal counsel’s review and approval.

Motion by Flynn, second by Kay, to table the motion to the June 6, 2009 Board meeting to allow 90 days to readdress this decision. Vote on the motion: Yea: Kay and Flynn. Nay: Darby, Buttimer, Sheridan and Williams. Motion failed 2 to 4.

Vote on the original motion: Yea: Darby, Williams, Sheridan and Buttimer. Nay: Flynn and Kay. Motion passed.

6.  Adjournment: 
Motion by Buttimer, second by Flynn, passed unanimously, to adjourn the meeting at 3:25 p.m.

Margaret Darby, LOWA Secretary

LAKE OF THE WOODS ASSOCIATION, INC.
Board of Directors Meeting
April 4, 2009, 10:00 a.m., Community Center

1. Call to Order:  With a quorum present, President Bill Wilson called the meeting to order at 8:00 a.m. in the Community Center.

2. Executive Session: 
    Motion by Williams, second by Kay, passed unanimously, to enter into Executive Session at 8:01 a.m.
    Motion by Kay, second by Williams, passed unanimously, to enter into Open Session at 10:00 a.m., and to affirm that the Board met earlier today in Executive Session, and only discussed topics regarding personal, personnel, contractual and/or legal matters.

3. Approval of Agenda:
    Motion by Sheridan, second by Kay, to approve the Agenda.  Motion by Flynn, second by Kay, to amend the Agenda by removing Item 15.7: Consideration of Adoption of Fiscal Year 2009 Budget. Vote on the motion to amend: Yea: Darby, Flynn and Kay. Nay: Buttimer, Williams and Sheridan. President Wilson voted “nay” to break the tie. Motion failed 4 to 3.
   Vote on the original motion passed unanimously.

4. Approval of Minutes of March 7, 2009, March 16, 2009 and March 18, 2009.
    Motion by Darby, second by Kay, passed unanimously, to approve the minutes of March 7, 2009, March 16, 2009 and March 18, 2009. 

5. Report from O.C. District 5 Supervisor: Lee Frame reported that there will be a Public Hearing on Tuesday at the Gordon Building in Orange on the FY 2009-10 budget, the Comprehensive Improvement Program for 2009-14, and the ordinance that establishes the tax rates.  The draft budget is on the County website for members to review at www.orangecountyva.gov. The BoS agendas also are being published on the website.
  The Board voted to go to the Virginia Public School Authority for a $33 million bond issue to support the new middle school.  The projected price for the new school now stands around $38.5 million, down from around $50-55 million projected a couple of years ago.
  A power line will have to be re-routed along Rte. 601, but this will be run underground. More trees will have to be removed, but plans are to replace this vegetation as soon as practical.
   Virginia State passed a bill requiring counties to have no limits on alternative sewage systems in the county. The Board has sent a letter asking the Governor to re-visit this decision, but the final disposition can’t be made for 18 months or so until other issues are addressed in the interim.
  Resident complaints of burning taking place late at night at the new Middle School site using noisy equipment will be referred to Jim Hopkins for consideration.
  Mr. Frame gave a short update on the status of the proposed Walmart at Rtes. 3/20.

6. Report from O.C. Sheriff’s Office: Chief Deputy Tim Murphy reported that for the month of March there were 2968 calls for service in the County, and 69 inside LOW. There were 81 warrants issued, 106 civil papers served (92 in LOW), and 24 transports. There were 254 summonses issued, 16 on Route 3.
  The armed robbery at the Wachovia Bank is still an ongoing investigation. The FBI has assigned an agent to the case.
  On March 27 and 28, they received four reports of break-ins, larcenies and vandalisms on Wilderness Lane and Larkspur Lane. Three resident juveniles were identified, ranging in ages from 12-15. Some stolen items have been recovered.
   Improvements in the budget situation have allowed us to retain our third animal control officer. We will still be losing one clerical position and one crime analyst.
   The Orange Moose Lodge has donated $1800 to the Citizens Police Academy, and another $1320 was raised from the teachers versus police basketball game. A golf tournament is scheduled for May 11 at Meadows Golf Course, and teams are needed. It takes about $900 to run one Academy class. May 16 is the shredder event from 11 am to 2 pm at the Locust Grove Center, where donations will be welcome.

7. Report from Chief of Security: Chief George Dodson reported that in March there were 53 summonses issued and 177 calls for service in LOW.
   Incidents of note include sledding on the dams, a brush fire, a resident burning leaves in their driveway, a fight at the Clubhouse parking lot involving several males, a newer resident fishing at the entrance pond, an altercation at the rear gate, and a school bus reported speeding. Staff responded to 11 house alarms, five domestic disputes, 16 assists, nine welfare checks, 18 animal complaints and seven vandalism reports.
 
8. Report from LOW Fire & Rescue:  Fire and Rescue President Tom Cornell reported that Rescue statistics for March are not yet available.  For the Fire Department, they responded to 12 car accidents, 5 brush fires, 3 structure fires, 8 medical assists, six reports of possible smoke/gas leaks, and 4 miscellaneous calls for public assistance.
  Relative to the burning at the new middle school site, Mr. Cornell explained that burn laws do not allow open-air fires until after 4 pm, and they must be out at midnight.

  9. Report from Orange County School Board Representative: No report was available.
 
10. Reports of Officers:
   President Wilson reported that seven accounting firms are interested in the LOWA auditing contract that went out for bid.  LOWA has received a letter from the State of Virginia formalizing the 2-year conditional certificate of operation for our main dam, with the stipulation that as of January 1, 2011, the new spillway and gate construction will have be completed. At that time, a six-year certificate of operation is expected to be issued.
   A task group of LOW members with dam construction expertise is writing a job description for a Dam Project Manager to represent LOWA’s interests, who will be required to report to members and management monthly regarding progress.
  LOWA is working to finalize the method to transfer funds from the Virginia State budget for the grant and low-interest construction loan for our dam.
   United States Security Associates will meet with interested LOWA members at the Community Center on April 5 at 2 pm to answer questions.
 
   Motion by Flynn, second by Kay, passed unanimously, to accept the following Committee changes: (D-09-23)

   Treasurer Kelly’s most recent report is attached as (D-09-24).
   Briefly, Treasurer Kelly reported that as of February 28, 2009, revenue is still ahead of expenses by approximately $876,000 in the Operating Budget.  Management is also holding the line on spending, which bodes well for ending the year with a balanced budget.  Only a few small projects remain in the capital budget, and funds have been appropriated for these items.  A simplified version of the financial reports should be available by May 1, 2009. 

  Motion by Darby, second by Williams, passed unanimously, to bar the following individuals from entry into LOW until their fines are paid in full: Robert Kerrigan, Eddie Cubbage, Timothy Johnson and Sylvia Newman.
  Motion by Darby, second by Kay, passed unanimously, to suspend the driving privileges in LOW of Steven Horwath until he receives a valid driver’s license, and for a period of 180 days thereafter.
  Motion by Darby, second by Williams, passed unanimously, to suspend the driving privileges of in LOW of Joshua King and Josh VanHook until they receive a valid driver’s license, and for a period of 90 days thereafter.

11. Report of General Manager: John Bailey reported there are at least seven pre-qualified contractors who are interested in the dam upgrade project, which could allow for some cost savings due to increased competition.  The financing meeting with the state and LOWA representatives should take place in the next week or two.
   About 60% of assessment payments made so far are being done by credit card, which is a bit lower than the expected 75%.
   Efforts are being made to notify members of the meeting with USSA tomorrow. E-mail will have to be used as Channel 18 is off the air due to technical difficulties. USSA has met with Mr. Dodson, and current staff members are being interviewed for continued employment.

12. Committee Reports:  Vice Chair of the Planning Committee, Mike Hill, encouraged residents to return the Planning Survey included in their assessment package.
   Doug Crain, Chair of External Affairs, encouraged members to attend the Public Hearing on the budget on Tuesday in Orange. Orange County submitted 37 projects to be considered for funding by the federal economic stimulus package, one of which was our new middle school.

13.  Member Comments on Business Agenda: One member noted that there are four items on today’s Board meeting agenda addressing funding, but no information has been released to members in advance. Another member asked the Board to eliminate Items 15.2 and 15.4 from the Agenda due to lack of opportunity for the Board to perform due diligence on dam options for funding and the budget. One member felt that with the proposed actions to be taken, our reserves will be too low after paying off the Community Center Loan. 

14. UNFINISHED BUSINESS    There was no unfinished business.
 
15. NEW BUSINESS
  
15.1 Consideration of Funding Allocation for the Germanna Highway Property.    (D-09-25)
    Motion by Buttimer, second by Sheridan, passed unanimously, to transfer $233,300 from the Replacement Capital Reserve to the Dam Reserve, and to allocate funding for the previous purchase of 3409 Germanna Highway in the amount of $233,300 from the Dam Reserve.

15.2 Consideration of Funding for the Dam Reserve. (D-09-26)
   Motion by Sheridan, second by Kay, passed unanimously, to transfer $198,029 from the Replacement Reserve to the Dam Reserve to cover expenses related to the dam.

15.3 Consideration of Funding Allocation for the Additional Expenses Related to the FY-08 Clubhouse Capital Projects. (D-09-27)
   Motion by Kay, second by Williams, passed unanimously, to allocate $8,345 from the Replacement Reserve to cover the additional expenses related to the FY-2008 Clubhouse Capital Projects.

15.4 Consideration of Funding Allocation for the Community Center Loan Payoff.    (D-09-28)
    Motion by Darby, second by Buttimer, to change the date for paying off the Community Center Loan to May 1, 2009. Vote: Yea: Buttimer, Sheridan, Williams and Darby. Nay: Kay and Flynn. Motion passed 4 to 2.
   Motion by Buttimer, second by Sheridan, passed unanimously, to transfer $815,000 plus any interest due, from the Replacement Reserve to the New Capital Reserve on May 1, 2009, for the purpose of funding the payoff of the Community Center Loan.

15.5 Consideration of Closure of Undesignated Reserve Account. (D-09-29)
  Motion by Williams, second by Buttimer, passed unanimously, to close the Undesignated Reserve account and transfer the existing balance of $1,245 to the Replacement Reserve.

15.6 Consideration of Previously Approved Expiring Capital Projects. (D-09-30)
   Motion by Flynn, second by Darby, passed unanimously, to carry over to FY-2010 the previously-approved capital projects identified in the March 26, 2009 Board package. 

15.7 Consideration of Adoption of Fiscal Year 2009 Budget. (D-09-31)
   Motion by Buttimer, second by Williams, to adopt the Fiscal Year 2009 Operating and Capital Budgets.
   Motion by Flynn, second by Kay, to table the motion to an open meeting after the workshop on April 15 to allow more time for review.  Vote: Yea: Flynn and Kay. Nay: Buttimer, Darby, Williams and Sheridan.  Motion failed 4 to 2.
   Vote on the original motion was unanimous.

15.8 Consideration of Golf Cart Fee Policy for Non-Member Guests. (D-09-32)
   Motion by Sheridan, second by Kay, passed unanimously, to eliminate the current practice of allowing non-member guests, while playing golf, to ride free with a member who has paid an annual cart or annual trail fee, and that such guests pay the appropriate fee according to the fee schedule.

16. General Member Comments: Members spoke on the following concerns: the significant lack of scheduling time available for use of the Sweetbriar soccer fields by the Soccer teams; a recommendation that LOWA purchase a burned house to create another park entrance/exit at Sweetbriar; graffiti at the Lions Pavilion; negotiate a dam contract that will minimize added costs; the lack of clarity in the current LOWA financial reports; a recommendation that the Board appoint a liaison for the dam issues; the need to eliminate the Right of First Refusal requirement from the Covenants because it is a form of discrimination and creates a hardship for veterans unable to refinance due to this Restrictive Covenant remaining in place; a realtor who felt that the Right of First Refusal covenant is obsolete for the purpose that it was originally intended and creates added paperwork; and a member who felt that LOW is a kid-friendly community, but does not give one group priority over others when scheduling facilities and groups must work with other groups on scheduling. Mr. Wessel noted that there were 73 soccer events in need of scheduling, which due to volume is difficult to accommodate. 

17. Scheduled Meetings:
  Board Workshop: Wednesday, April 15, 2009, at 2:00 p.m. in the lower level of the Clubhouse.
  Regular Monthly Board Meeting: Saturday, May 2, 2009 at 10:00 a.m. in the Community Center.

18. Adjournment: 
   Motion by Kay, second by Darby, passed unanimously, to adjourn the meeting at 12:18 p.m.

Margaret Darby, LOWA Secretary

LAKE OF THE WOODS ASSOCIATION, INC.
Board of Directors Meeting
April 15, 2009, 2:00 p.m., Clubhouse

1. Call to Order
   With a quorum present, President Wilson called the meeting to order at 2:00 p.m. in the lower level of the Clubhouse prior to the Board Workshop.
  Motion by Darby, second by Kay, passed unanimously, to enter into Open Session at 2:01 p.m.

2. Approval of Agenda   Motion by Williams, second by Kay, passed unanimously, to approve the Agenda.

3. NEW BUSINESS

3.1 Consideration of Request for Additional Services for Alternative Spillway—LOW Main Dam.
(This item was removed from the Agenda. The General Manager recommended the Board postpone this action based on the outcome of a meeting held the previous day.)

3.2 Consideration of Appointment to Fill Vacancy on the Nominating Committee.     (D-09-32)
     Motion by Sheridan, second by Kay, passed unanimously, to accept the resignation of Myles Embrey from the Nominating Committee.
   Motion by Sheridan, second by Williams, passed unanimously, to accept the nomination of Ginny Thoms as a voting member of the Nominating Committee.

4. Adjournment: With a motion by Buttimer, second by Kay, President Wilson adjourned the meeting at 2:05 p.m.

Margaret Darby, LOWA Secretary

LAKE OF THE WOODS ASSOCIATION, INC.
Board of Directors Meeting
May 2, 2009, 10:00 a.m, Clubhouse

   
Call to Order
1. With a quorum present, President Bill Wilson called the meeting to order at 8:04 a.m. in the lower level of the Clubhouse.

2. Executive Session: 
    Motion by Bruce, second by Darby, passed unanimously, to enter into Executive Session at 8:05 a.m.
    Motion by Sheridan, second by Darby, passed unanimously, to enter into Open Session at 10:01 a.m., and to affirm that the Board met earlier today in Executive Session, and only discussed topics regarding personnel, contractual and/or legal matters.

3. Approval of Agenda:
    Motion by Kay, second by Sheridan, to approve the Agenda.  Motion by Kay, second by Flynn, passed unanimously, to delete Item 15.1: Consideration of Request to Subdivide Lot. Motion by Kay, second by Darby, passed unanimously, to add as Item 15.1: Consideration of Security Building.

4. Approval of Minutes of April 4, 2009 and April 15, 2009.
    Motion by Darby, second by Kay, passed unanimously, to approve the minutes of April 4, 2009.
    Motion by Darby, second by Kay, passed unanimously, to approve the minutes of April 15, 2009.

5. Report of Orange County District 5 Supervisor: Supervisor Lee Frame reported that the County Budget was passed on April 14. One employee has been added to the County staff in the Registrar’s office. He noted that poll workers are needed for elections, for which both training and work is paid.

The County approved an application from Crackerjacks, a fireworks club. The group will be meeting May 15 and 16 from 12 noon until 11 p.m., and residents can expect to hear fireworks on those dates.

Tax exempt status was granted to the Orange County Fairgrounds, and to two parcels of property near the intersection of Rtes. 3 and 20.  The parcels have been downgraded to agricultural status and are owned by the Central Virginia Battlefields Trust.  Complaints about truck noise on Rtes. 3 and 20 may be due in part to the lack of adequate vegetative buffering between Rte. 3 and the small lake.  Remedies are being considered.

The County is making plans to be ready for any possible Swine Flu epidemic by working with the schools, Health Department and EMS groups. Procedures are currently being developed, including the purchase of face masks and equipment.

6. Report of Orange County Sheriff’s Department: Chief Deputy Tim Murphy reported that in the month of April, there were 2633 calls for service in the County, and 59 in Lake of the Woods. There were1036 civil papers served, 113 in LOW.  The county served 72 warrants, performed 22 transports, and issued 165 traffic summons, 15 of those on Rte 3.

Suspects have been identified and charged in the multiple vandalisms that took place in Section 13 recently. Suspects will be subject to juvenile probation, and are currently in custody of their parents.  At the request of the General Manager, Officer Murphy explained how juvenile offenders are handled in the court system.

The Sheriff’s Office has done considerable investigation of Global Adventures, a company selling vacation packages to LOW members, and there were no negative findings relative to this business.

7. Report from Chief of Security:  Brad Montague of US Security Associates reported that Mr. Danny Dobson is the new Security Chief at LOW. Shortly, they will be installing the TOUR supervised guard system for patrols, a refined guest management system, and reviewing gate and standard operating procedures.

Mr. Dobson reported that in April there were 11 complaints of vandalism, one major power outage due to a faulty substation transformer, 17 dog/animal complaints, 3 domestic calls and 17 resident assists; 18 complaints of roadway problems, 4 house alarms and 4 complaints of disturbing the peace. There were 127 calls for service and 35 traffic summonses issued.

General Manager John Bailey reviewed the variety of guest hangtags available at the Security Gate and the purpose of each. He reminded members that clubs need to forward a list of the names of all visitors to Security prior to any event open to non-residents.

8. Report from LOW Fire & Rescue: President Tom Cornell reported that in April there were 37 calls to Rescue from the County, and 54 from LOW for a total of 91 for the month. On the Fire Department side, there were 14 calls from LOW residents, and 19 calls from the County for a total of 33.

Due to reduced income and higher expenses, LOW Volunteer Fire & Rescue, Inc. has decided not to sponsor the July 4 Festival or Parade this year. Clubs and organizations will be invited to offer games, food and activities for their own profit. There will be no “Open Gate” and no shuttle bus, but the Ski Show and Fireworks are still planned. 

9. Report from Orange County School Board: District 5 Representative Jim Hopkins reported that the burning being done at the new Middle School site has been completed. REC is still working on burying the power lines along the road, and that project should be completed in a couple of weeks. A groundbreaking is planned, but time and date is not yet set.

The Orange County School system will receive some federal stimulus funds in the next couple of years, but to date the timing and amount is unknown.

10. Reports of Officers:
    President Wilson reported that on April 22, 2009, LOWA management met with several County and State key administrators to discuss financing for the main dam upgrade project. Conclusions as a result of this meeting were as follows: the Virginia Resources Authority will identify a loan vehicle around May 12; a primary goal is to limit obligations and liability of Orange County; LOWA assessing power will serve as collateral for what is expected to be a 15-year loan; LOWA has completed their portion of the VRA loan application; and LOWA is requesting one of two minor changes to the dam engineering plan, but this should not delay construction. A Request for Quotation has been sent out for a construction Project Manager, and 11 responses have been received to date.

He expressed his concern about the recent vandalism to homes that resulted in total damage estimates in the area of $60,000, and other vandalism incidents that regularly target our public restrooms. He requested that parents speak to their children about this type of activity, which is not just a prank, it is considered a crime by law enforcement.

Mr. Wilson stated that the Board would like to honor former Security Chief George Dodson by naming the current Security Building, or any future replacement Security building, after him.

Motion by Flynn, second by Kay, passed unanimously, to approve the following Committee changes: (D-09-33)

Treasurer Kelly’s Report for the 11 months ending March 31, 2009 is attached as (D-09-34).  Briefly, Treasurer Kelly reported that although it is too early to provide a year-end report, LOWA did end up in the black for FY 2008-09. The Community Center loan has been paid in full.

Motion by Darby, second by Kay, passed unanimously, to bar Donald Ferrell, Matthew Lux, Grigore Timis, Gary Tyson and Gerald Williams from LOW until their fines are paid in full.

Motion by Darby, second by Kay, passed unanimously, to suspend the driving privileges of Nina Hudson within LOW for a period of 30 days.

11. Report of General Manager: GM John Bailey announced that hours for the July 4 Festival will be from 11 a.m. to 3 p.m.  He encouraged clubs to use the event as a fundraising opportunity. Sylvia Zelinsky as Operations Assistant in the Community Center office is coordinating the event and activities offered. However, if a member needs to speak with a specific person, he/she should call ahead to be sure they will be in the office.

He reported that the new water line will be installed during the week of May 4 in the Birch Court area, and that the current paving project on Rte. 3 is almost complete.

Seventy percent of assessments have been paid, with about 40% of members paying by credit card.

The Administration office will now be open from 8:30 am to 5 pm, Monday through Friday, starting May 4. 

12. Committee Reports: President Wilson read a letter submitted by Lynn Huntsman, Chair of the Nominating Committee, listing those members who will be candidates for the 2009 Board Election. They are: Joseph P. Jackson, Jr., Patrick Rowland, Laurie L. Sale and Boggs Wright. 

13. Member Comments on Business Agenda: 
One member submitted a petition with over 800 signatures nominating Olive Kelly as a candidate for the 2009 Board of Directors election, which was accepted by President Wilson. She will be added to the slate of candidates as soon as 250 signatures are validated. 

14. UNFINISHED BUSINESS   There was no unfinished business.

15. NEW BUSINESS

15.1 Consideration of Security Building. (D-09-35)
Motion by Kay, second by Flynn, passed unanimously, to name the current and any future Security Building to be henceforth known as the George Dodson Building.

15.2 Consideration of Slate of Candidates for the 2009 Board of Directors Election.  (D-09-36)
Motion by Sheridan, second by Kay, passed unanimously, to accept the 2009 Slate of Candidates for Board of Directors.

16. Scheduled Meetings:
Board Workshop: Wednesday, May 20, 2009, at 2:00 p.m. in the lower level of the Clubhouse. Topic: Reserve Study.
Monthly Board Meeting: Saturday, June 6, 2009 at 10:00 a.m. in the Community Center.

17. Member Comments: One member asked if members could pay their separate dam assessment up front instead of over a period of years.

18. Adjournment: Motion by Kay, passed unanimously, to adjourn at 11:26 a.m.

Margaret Darby, LOWA Secretary

LAKE OF THE WOODS ASSOCIATION, INC.
Board of Directors Meeting
June 6, 2009, 10:00 a.m, Community Center

  Call to Order:
1. With a quorum present, President Bill Wilson called the meeting to order at 8:00 a.m. in the Community Center.

2. Executive Session: 
    Motion by Kay, second by Buttimer, passed unanimously, to enter into Executive Session at 8:01 a.m.
    Motion by Williams, second by Kay, passed unanimously, to enter into Open Session at 10:05 a.m., and to affirm that the Board met earlier today and on May 20, 2009 in Executive Session, and only discussed topics regarding personal, personnel, contractual and/or legal matters.

3. Approval of Agenda:
    Motion by Kay, second by Williams, passed unanimously, to approve the Agenda as submitted.

4. Approval of Minutes of May 2, 2009.
    Motion by Darby, second by Buttimer, passed unanimously, to approve the minutes of May 2, 2009.

5. Report of Orange County District 5 Supervisor: Supervisor Lee Frame reported that groundbreaking for the new middle school took place last week. The Public Hearing before the Planning Commission on the proposed Walmart store also took place last week, and they will be forwarding their recommendations to the Board of Supervisors. It is expected that another public hearing will be scheduled on Walmart before the BOS in July, and a decision from the supervisors available by early August.  It will be some time yet before the compactor site inside LOW is moved to the new middle school area.                                                                                                                                     

6. Report of Orange County Sheriff’s Department: No report was available.

7. Report from Chief of Security:  Security Chief Danny Dobson reported that US Security has been concentrating on improving entry procedures at the front gate.  Two hundred and sixteen new vehicles were registered for barcodes as a result. During the month of May, there were 52 animal complaints, 30 traffic summonses issued, 14 boat summonses issued and 561 boats registered.  Mr. Martin Legger of Security reported that all officers have been trained in how to use “less than lethal option” procedures. Sixty locations for the Tour-Positive system have been installed or identified already, and they are working with GM John Bailey to identify other critical locations for installation of this monitoring system. On Wednesday they will be working with a specialist on installation of the visitor management system.
   
8. Report from LOW Fire & Rescue: President Tom Cornell reported that during the month of May the Fire Department responded to 9 MVA’s, 3 brush fires, 3 EMT assists, 5 fire alarms, 2 downed power lines, 5 public service calls, one structure fire, one tree down, and one vehicle.  There were 23 calls for service inside LOW, and 25 outside. On the Rescue side, there were 44 calls inside LOW, and 25 calls to the rest of Orange County, for a total of 69 calls for the month.  A driver’s course is being held today for staff, and an EMT-enhanced class is testing today.

9. Report from Orange County School Board: District 5 Representative Jim Hopkins also mentioned the groundbreaking at the new middle school this past week. He gave a short display board presentation on the site layout of the grounds and buildings at the new school, and noted that busses will be loading and unloading at a side entrance to enhance safety.
Yesterday was the last day of school for this year, and over 300 seniors will be attending graduation exercises today.  

10. Reports of Officers:
President Wilson reported that the Virginia Resources Authority (VRA) has not yet determined the process they will use for the low interest loan on our main dam upgrade. Their current proposal is being reviewed by VRA legal counsel. LOWA management is contacting other lending institutions to explore the option of a private loan. A special assessment to lot owners, in the area of $1500 is another option. 

The spillway design has been finalized. A detailed contract for the dam upgrade work has been reviewed by our dam consultants, legal counsel, and insurance consultants. LOWA cannot hire a general contractor for construction until the funding source is arranged. Interviews for a qualified Project Manager have been completed.

TV and phone transmission has been installed at the back gate to facilitate communication with the front gate security staff when entry problems are encountered.

The LOWA Board has not taken a position on the proposed Walmart store, but we have given notice that we are opposed to construction on Pad sites 1 and 3 in the proposed area of construction due to their location within the Keaton’s Run Dam inundation zone, a potentially hazardous site should we experience a full PMF rain event.

He thanked F&R for their tasteful new signs, and the group of golfers who installed a sign on the golf course. He recommended members save the Emergency Guidelines published in this week’s Lake Currents.     

Motion by Flynn, second by Kay, passed unanimously, to approve the following Committee changes: (D-09-37)

Motion by Darby, second by Flynn, passed unanimously, to bar Stephan Gall from entry into LOW until his fine is paid in full.

Treasurer Kelly’s Report is attached as (D-09-38). Briefly, she reported that the April 30, 2009 financial reports for the end of the fiscal year are not yet available, and may take another 2-3 weeks. Part of the delay is the need to perform some functions manually. We are working to improve our software and better utilize what we have.

Overall, it is expected LOWA will end the 2008-09 fiscal year with a small surplus.  Efforts are being made to build up our capital reserve balance, and management has worked hard to minimize expenses.

11. Report of General Manager: Mr. John Bailey reported that we have taken in $4.053 million from assessment fees so far. Thirty percent of the amount collected was paid by credit card, which is a lower percentage than anticipated. Four hundred and seventy-eight members took advantage of the semi-annual payment plan. There are1586 boats
registered, year-to-date.

Eight qualified bidders have been identified for general contractor services for the dam work, and the RFP will be distributed in the near future.
Four cameras are now located at the back gate with a call box connected directly to front gate security. Members need to have their current ID with them to verify membership and for security to authorize entry when the automatic arm does not work properly.
There is new merchandise and new pricing at the Pro Shop, and more new items will be added in the next few weeks.

12. Committee Reports:  Dave McKee, Chair of the Clubhouse Committee, advised that the Clubhouse is open for lunch today, and anyone bringing their Board meeting agenda to the Clubhouse for lunch today will receive a 10% discount on meals for everyone at the table.

13. Member Comments on Business Agenda: One member asked for clarification of the actual cost of the dam upgrade work to each member, which could vary from $1200 to $1500, depending on the type of loan and payment schedule selected.

14. UNFINISHED BUSINESS  There was no unfinished business.

15. NEW BUSINESS

15.1 Consideration of Contract for Auditing Services. (D-09-39)
Motion by Kay, second by Flynn, to authorize the General Manager to enter into a contract with PBG&H Accountants for auditing services for one year, in an amount not to exceed $21,500.

Motion by Flynn, second by Kay, to amend the motion to a 3-year auditing services contract with PBG&H. Vote on the motion as amended: Yea: Kay, Flynn and Darby. Nay: Sheridan, Buttimer and Williams. Motion failed 3 to 3.
Vote on the original motion: Yea: Kay, Flynn and Darby. Nay: Sheridan, Buttimer and Williams. President Wilson voted “Yea” to break the tie. Motion passed 4 to 3.

16. Scheduled Meetings:
Board Workshop: Wednesday, June 17, 2009, at 2:00 p.m. in the lower level of the Clubhouse. 
Regular Board Meeting: Saturday, June 27, 2009 at 10:00 a.m. in the Community Center. (July Board meeting)

17. Member Comments: Two members felt the Board had made the right decision to change accountants; the OC Planning Commission representative of District 5 requested information from the Association on their position on the Pad sites; and one member suggested that future Board meetings include a regular report from the Lakes Manager on recent events affecting water quality and the status of the lake.

18. Adjournment:  Motion passed unanimously to adjourn the meeting at 11:24 a.m.

Margaret Darby, LOWA Secretary

LAKE OF THE WOODS ASSOCIATION, INC.
Board of Directors Meeting
June 27, 2009 at 10:00 a.m, Community Center

Call to Order:
1. With a quorum present, President Bill Wilson called the meeting to order at 8:00 a.m. in the Community Center.

2. Executive Session: 
    Motion by Buttimer, second by Kay, passed unanimously, to enter into Executive Session at 8:01 a.m.
    Motion by Williams, second by Kay, passed unanimously, to enter into Open Session at 10:03 a.m., and to affirm that the Board met earlier today and on June 22, 2009 in Executive Session, and only discussed topics regarding personal, personnel, contractual and/or legal matters.

3. Approval of Agenda:
    Motion by Buttimer, second by Williams, to approve the Agenda.
    Motion by Kay, second by Sheridan, passed unanimously, to amend the Agenda to delete Item 15.5: Consideration of Repair to the Woods Center Concrete.
    Motion by Kay, second by Flynn, passed unanimously, to amend the Agenda by adding Item 15.13: Consideration of Repair and Painting of the Mail Stations.
    Original motion to approve the agenda as amended passed unanimously.

4. Approval of Minutes of June 6, 2009.
    Motion by Darby, second by Williams, passed unanimously, to approve the minutes of June 6, 2009.

5. Report of Orange County District 5 Supervisor: The Supervisors have received a report on the Route 29 Corridor Study, targeting traffic growth.  They have received the Water Supply Plan, which projects water supplies, usage and needs in the county for the next 50 years. Supplies are adequate for the next decade, but future needs will be dependent on rate of population growth.  The Board is considering requesting a government grant for a new Fire and Rescue station at Mine Run. The board is also working on preparing a task list that will expand staff duties at the landfill in preparation for expanding the site that will be needed by 2013 when the old landfill is closed. A first approval for the site plans has been received from the FAA. A public hearing date will be set soon for the Wal-mart special use permit, which has already been approved by the Planning Committee.

6. Report of Orange County Sheriff’s Department: Sheriff Mark Amos reported that as of June 26, there were 2244 calls for service in the County for this month, and 44 from LOW.  There were 847 civil papers served in the county, and 73 in LOW. They served 34 warrants, performed 26 transports, and wrote 88 traffic summonses.

  One Orange County High School student was arrested in May for possession of numerous illegal drugs. An arrest was also made of a long-time employee who was accused of embezzling money from the country store where she worked.  The Wachovia bank robbery on Rte 3 has not yet been solved, but they continue to pursue leads. Residents are advised to be aware of the speed cart on Route 3 near the main entrance.
  Several county law enforcement agencies are joining forces to offer a first responder type program involving defibrillator training and equipment.

7. Report from Chief of Security: Security Chief Danny Dobson reported that this month there were 133 boats registered, for a total of 694 year-to-date. They issued 6 boat summonses and 159 more vehicles were registered. One individual wanted for a felony was identified on entry to LOW, and he was detained for pick-up by the Sheriff’s office. There were 52 dog complaints last month, but only 23 this month, which is a significant improvement. Calls for service and summons statistics were not yet available for June.
   
8. Report from LOW Fire & Rescue: No report was available.

9. Report from Orange County School Board: District 5 Representative Jim Hopkins reported that Dr. Robert Gramercy will be starting his duties as our new Superintendent of Schools on July 1.

In response to previous inquiries, he noted that there currently is no plan to install a sidewalk on the LOW side of Rte. 601 as part of the new middle school construction. If statistics show sufficient pedestrian traffic in this area after the school is opened, sidewalks may need to be installed at a later date.

10. Reports of Officers:
President Wilson reported on the high points of the June 17 Board Workshop. LOWA presented Fire and Rescue with a check for the remaining $12,000, which was part of LOWA’s  annual gift. The Board developed initial budget guidelines for the GM for the 2010 budget.

The Board felt that Paragraph 17 of the LOWA Covenants, which addresses Rights of First Refusal, would be best eliminated, and proposed a Referendum on this issue to be sent to members this summer.

The Board will be voting today on whether to adopt the Virginia Boating Safety Education requirements for LOW, effective May 30, 2010, which will require motorized watercraft operators to pass a written safety test, a standard for use of all other Virginia waterways. The cost of this test can be anywhere from $15-$35, and can be taken on-line. It is recommended all PWC users and operators of motorized boats over 10 hp read the Virginia Boating Safety Education requirements carefully to see how this new law pertains to them. Complete information can be found on the Virginia Game and Inland Fisheries website at www.dgif.virginia.gov/boating/education. 

On Wednesday, the Board met with local real estate agents to discuss how to work together to promote LOW and improve home sales. An Open House is planned for August 16 that will feature multiple properties.

A Board retreat was held last Monday to complete discussions of items not completed during last November’s retreat, and attendees included some candidates running for the Board this year.

The Democratic Women’s Club donated a DVD/CD player to the Community Center, and he thanked them for their gift.

Motion by Flynn, second by Kay, passed unanimously, to approve the following Committee changes: (D-09-40)

Vice President Flynn announced there will be a Committee Chairman orientation meeting on July 22 at 11:00 am, to discuss reorganization of the Committees and quality management changes that will be needed, especially as affects Committee Charters.  He will be discussing committee vacancies with committee chairs as well.

Motion by Darby, second by Kay, passed unanimously, to bar United Paving from entry into LOW until their fine is paid in full.

Motion by Darby, second by Flynn, passed unanimously, to bar Kimberly Perry from entry into LOW until such time as her fine is paid in full.

Treasurer Kelly’s Report is attached as (D-09-41). She reported that the audit firm of PBGH has been hired and is expected to complete their audit of our finances by the end of August.  The financial report for the end of May has not yet been completed, but should be available by next week.

11. Report of General Manager: General Manager John Bailey advised members that LOWA does not sell their e-mail list under any circumstances, but a mailing list is available to members (as required by the Homeowners Association Act of Virginia) as long as it is not used for monetary gain.

Assistant General Manager of Operations Ted Wessel reported that weekend pool hours have been extended at both pools, starting at 11 am instead of 1 pm. Funding for this will come from the pool expendable furnishings budget. A full review of pool furniture needs will be undertaken, as will future plans for upgrades to the pool support buildings.

An important meeting of the Quality Management Council will be held July 9 to direct the future of the committee and set priorities. It is expected all future tasks will be performed by LOWA staff, not by hired consultants. Our Maintenance staff has developed procedures and they will mentor other LOWA departments on QM program development. A standardized job description form was created and will be applied to all staff positions.

Mr. Bailey reported that the Virginia Resource Authority is still considering the allowable methods for transfer of construction funds. We are also talking to several lending institutions to establish a back-up funding plan, if needed.

A Project Manager to oversee the dam construction project has been identified and LOWA has made that person an offer.  The general contracting RFP was sent to eight bidders, and we expect to get eight bids.  The deadline for the proposals is July 23, and it is expected administration will have a selection to present to the Board by mid-August.

Mr. Bailey gave a brief overview of activities planned for July 4. The Veterans’ group is organizing and leading the parade activities. The Clubhouse will offer hamburgers, hot dogs and beer for purchase. About 36 organizations are scheduled to provide food and activities on Clubhouse point for the festival. Pony rides will be offered at the Stables in the morning. Our gates will be closed to outside residents this year and residents will have to call the gate to clear entry for any personal guests.

12. Committee Reports: Communications Chair Al Sanborn, and External Affairs Chair Pat Rowland mentioned that their committees both need voting members.  Interested members are encouraged to get involved by contacting the chairs to learn more about how they can contribute, and/or attend a meeting.

Desmond Flanagan, Planning Committee Chair, presented the results of the 2009 Member Survey to the Board. Only about 35% of residents responded to the survey this year, versus a 46% response rate for the 2008 survey.

Jim Drabant, Finance Committee Chair, asked for a status report on the recommendations made to the Board on the Reserve Study. It appears action has been delayed due to further reviews by other groups and efforts to reduce the number of items on the list.  He noted the Finance Committee also needs the 2010 budget guidelines, which also underwent further review by the Board. He mentioned the budget time schedule has been condensed, which he expects will improve the process.

13. Member Comments on Business Agenda:
One member asked for clarification regarding age guidelines and how penalties will be imposed at LOW for the Boating Safety Licenses required by Virginia. Members were advised to read the Virginia Boating Safety Act to determine when they will need to acquire this license based on their age and their own personal use of motorized vehicles.

Another member mentioned four items on today’s Board agenda that did not appear on the Agenda published earlier on the LOWA website. The Board agreed to allow member comments during the course of addressing those items at today’s meeting.

14. UNFINISHED BUSINESS    There was no unfinished business.

15. NEW BUSINESS

15.1 Consideration of Addition to Regulations Re: Virginia Boating Safety Education Requirements. (First Reading) (D-09-42)
Motion by Flynn, second by Kay, to add new Regulation Section X.E.1: Use of the Lakes—Watercraft Operations as a First Reading, to institute the Virginia Boating Safety Education Requirements at LOW.

Motion by Buttimer, second by Sheridan, passed unanimously, to amend the motion by adding the effective date of May 30, 2010.

Vote on the original motion as amended passed unanimously.

15.2  Consideration of Addition to Regulation XIV: Schedule of Penalties for Violations. First Reading (D-09-43) 
Motion by Darby, second by Kay, to add Regulation XIV.B.19: Schedule of Penalties for Violations, as a First Reading, to institute a new fee for failure to meet the Virginia Boating Safety Education requirements when operating a watercraft in LOW.
Motion by Buttimer, second by Flynn, passed unanimously, to amend the motion to read that the LOWA fee for such a violation will be $50.
Vote on the original motion as amended passed unanimously.

15.3 Consideration of Regulation Regarding Barking Dogs. (D-09-44)
Motion by Williams, second by Kay, to direct the Rules Committee to draft language for a regulation requiring dogs be kept indoors during overnight hours.

Motion by Buttimer, second by Williams, passed unanimously, to amend the motion to change the directive from the Rules Committee to the Safety and Security Committee.

Vote on the original motion as amended passed unanimously.

15.4 Consideration of a Regulation Regarding Parking on Lawns. (D-09-45)
Motion by Flynn, second by Kay, to direct the Rules Committee to craft language for a regulation prohibiting parking on lawns.

Motion by Buttimer, second by Kay, passed unanimously, to amend the motion to change the directive from the Rules Committee to the Environmental Control Committee.

Vote on original motion as amended passed unanimously.

15.5 Consideration of Repair to Woods Center Concrete. (This item was removed from the Agenda)

15.6 Consideration of Referendum Regarding Paragraph 17. (D-09-46)
Motion by Darby, second by Williams, passed unanimously, to authorize a Referendum be conducted to remove Paragraph 17: Rights of First Refusal, from the Declaration of Restrictions. 

15.7 Consideration of Policy Resolution Regarding Allocation of Road Fee Income. (D-09-47)
Motion by Buttimer, second by Kay, passed unanimously, to adopt the following policy: “All Road Fee income collected during the fiscal year shall be applied to the Road Reserve.”

15.8 Consideration of Policy Resolution Regarding Timing for Adding Completed Capital Projects to the Reserve Funds. (D-09-48)
Motion by Kay, second by Williams, passed unanimously, to adopt the following policy: “All capital acquisitions or projects shall be added to the appropriate replacement reserve list in the fiscal year following the year of acquisition or project completion.”

Motion by Sheridan, second by Kay, passed unanimously, to amend the motion to specify that the contribution to the reserve calculation will be based on the Reserve Study, and the financial statement depreciation will be based on IRS guidelines.

Vote on the original motion as amended passed unanimously.

15.9 Consideration of Request to Enter Lots for Maintenance. (D-09-49)
Motion by Flynn, second by Darby to authorize that the lots identified in the Memo dated June 25, 2009 and approved by counsel be entered, mowed and cleaned, and that the respective property-owners be billed for the costs related to such work according to Paragraph 14 of the Declaration of Restrictions. (Specifically, this motion pertains to the following properties listed in the Memo: Section 2, Lots 239 and 434; Section 4, Lot 94; Section 5, Lot 250; Section 6, Lot 14; Section 7, Lots 227 and 321; Section 9, Lot 113; and Section 11, Lots 198 and 276.)

Motion by Darby, second by Buttimer, passed unanimously, to amend the motion to delete the word “cleaned” and replace it with “cleared of debris.”

Vote on the original motion as amended passed unanimously.

15.10 Consideration of Policy Regarding Entering Property to Perform Certain Maintenance. (D-09-50)
Motion by Flynn, second by Darby, passed unanimously, to adopt the following policy for carrying out Paragraph 14 of the Declaration of Restrictions: “ECC will send a Certified Letter informing the member of the violation and that they have 10 days from receipt of the letter to bring their lot into compliance. If the member fails to bring the lot into compliance within that period, the Board of Directors will take action to have the lot entered and have the yard mowed and cleared of debris. Said work shall be contracted and the costs associated with the clean-up will be applied to the member’s account.”

15.11 Consideration of Funding Authorization for Capital Projects Completed by April 30, 2009. (D-09-51)
Motion by Buttimer, second by Williams, passed unanimously, to approve the appropriation of $13,893.55 from the respective Reserve Funds to cover unfunded, completed capital expenditures, retroactive to April 30, 2009.

15.12 Consideration of Funding Authorization for Dam Expense. (D-09-52)
Motion by Sheridan, second by Kay, to approve the appropriation of $58,140.67 from the Dam Reserve to cover unfunded capital expenditures, retroactive to April 30, 2009. Vote on the motion: Yea: Darby, Williams, Buttimer, Flynn and Kay. Nay: Sheridan. Motion passed 5 to 1.

15.13 Consideration of Repair and Painting of the Mail Stations. (D-09-53)
Motion by Kay, second by Sheridan, to authorize the General Manager to enter into a contract to repair and paint all LOW mail stations, in an amount not to exceed $11,000, to be funded from the 2008 surplus. Vote on the motion: Yea: Kay, Sheridan, Flynn and Darby. Nay: Williams and Buttimer. Motion passed 4 to 2.

16. General Member Comments: Boggs Wright of the Clubhouse Committee announced a lunch special today at the Clubhouse: 10% off your bill if you bring the Board agenda with you.  Mr. Hank Lewis, Children’s Fishing Tournament coordinator, thanked LOWA for their support for the event, especially Maintenance. There were 123 children who participated in the tournament.  He encouraged members to get involved in the Cardboard Boat Regatta on July 25. One member asked about the need for a VA Boating license if you have passed the Coast Guard exam, and asked that the Virginia website address be sent to the member e-mail list so members can review the law as it pertains to them. One resident commented on the difficulty of defining conditions under which members will be allowed to park on their lawns, and another member pointed out the defects in concrete construction at the mail stations. 

17. Scheduled Meetings:
Board Workshop: Wednesday, July 15, 2009, at 2:00 p.m. in the lower level of the Clubhouse. 
Regular Board Meeting: Saturday, August 1, 2009 at 10:00 a.m. in the Community Center.

18. Adjournment:   President Wilson adjourned the meeting at 12:44 p.m. 

Margaret Darby, LOWA Secretary

LAKE OF THE WOODS ASSOCIATION, INC.
Board of Directors Meeting
July 15, 2009 at 2:00 p.m., Clubhouse

1. Executive Session
With a quorum present, President Wilson called the meeting to order at 12:30 p.m. in the Clubhouse.
Motion by Sheridan, second by Williams, passed unanimously to enter into Executive Session at 12:31 p.m.

2. Open Session
Motion by Williams, second by Darby, passed unanimously, to enter into Open Session at 2:00 p.m., and to affirm that the Board met in Executive Session earlier today and on July 10, and only discussed topics regarding personnel, contractual and/or legal matters. 

Following the workshop discussions on Senior Housing and Budget Guidelines, President Wilson began the formal part of the board meeting at 3:25 p.m.

1.  Consideration of Liability and Workers Compensation Insurance Renewals. (D-09-54)
Motion by Flynn, second by Williams, passed unanimously, to approve the renewal of LOWA’s insurance policy as proposed by Bankers Insurance.

2. Consideration of Financial Housekeeping Tasks. (D-09-55)
Motion by Kay, second by Buttimer, passed unanimously, to write off a $30,000 capital credit carried on the Association books as an asset since prior to 2004, but with no explanation as to what it is.

Motion by Kay, second by Buttimer, passed unanimously, to delete a negative ($4,472.98) Reserve account balance carried as a liability for Channel 18.

Motion by Kay, second by Buttimer, to establish a Bad Debt account in the 2008 Reserves not to exceed $28,865, the amount verified to be written off.  Vote: Yea: Kay, Buttimer, Darby, Williams and Flynn. Nay: Sheridan. Motion passed 5 to 1.

It was noted that the total of these actions, assuming the bad debt to be $28,865, will reduce the Association operational surplus by $54,392.02.  

4.  Adjournment With a motion by Williams, President Wilson adjourned the meeting at 3:45  p.m.

Margaret Darby, LOWA Secretary

LAKE OF THE WOODS ASSOCIATION, INC.
Board of Directors Meeting
August 1, 2009, 10:00 a.m, Community Center

Call to Order:
1. With a quorum present, President Bill Wilson called the meeting to order at 8:05 a.m. in the Community Center.

2. Executive Session: 
    Motion by Sheridan, second by Kay, passed unanimously, to enter into Executive Session at 8:06 a.m.
    Motion by Williams, second by Darby, passed unanimously, to enter into Open Session at 10:03 a.m., and to affirm that the Board met earlier today in Executive Session and only discussed topics regarding personal, personnel, contractual and/or legal matters.

3. Approval of Agenda:
    Motion by Williams, second by Kay, to approve the Agenda.  Motion by Kay, second by Darby, passed unanimously, to amend the agenda with the addition of Item 15.4:  Consideration of legal action against a resident. Vote on the original motion as amended was unanimous. 

4. Approval of Minutes of June 27, 2009 and July 15, 2009.
    Motion by Darby, second by Kay , passed unanimously, to approve the minutes of June 27, 2009.
    Motion by Darby, second by Buttimer, passed unanimously, to approve the minutes of July 15, 2009.

5. Report of Orange County District 5 Supervisor:  Supervisor Lee Frame reminded members that the Public Hearing on the Wal-mart proposal has been rescheduled for August 24, and a decision may be made either on the 24th or 25th.  A preference will be given to speakers from Orange County at the public hearing. The Board is busy addressing many other issues such as solid waste, library funding, budget planning, the comprehensive improvement program, a noise ordinance and personnel policies.
  The Board has decided to proceed with procurement of some property along Rte. 20 to build a new Mine Run Fire and Rescue station.  We have applied for available federal grant money, which could be up to $2 million.
   A new zoning ordinance will be considered in the next couple of weeks, which will include consideration of a tourist corridor overlay.

6. Report of Orange County Sheriff’s Department: Sheriff Mark Amos reported that as of July 31 at 9 a.m, there were 2692 calls for service in the county, bringing the year-to-date total to 19,339. From LOW, there were 57 calls for service for a total of 434 so far this year. In July, they issued 48 warrants, served 946 civil papers, performed 34 transports and wrote 307 summonses. In LOW, there were 100 civil papers served and 43 tickets issued on Route 3.
  Sheriff Amos said the department is still working on solving the Wachovia bank robbery. The same person is believed to be responsible for similar robberies in Fauquier and Front Royal. The FBI is involved in the case.
  There have been a few incidents of cars being broken into in LOW, primarily involving the theft of electronic equipment. Members are cautioned to keep their cars locked at all times.
   Another Citizens Police Academy class will start on September 15 in the Town of Orange.  Interested residents should call the Sheriff’s office for an application.
  Two new people will be hired shortly, one for patrol and the other as an animal control officer.
 
7. Report from Chief of Security: Security Chief Danny Dobson reported that Security fielded 229 calls for service in July. There were 38 animal complaints, 44 traffic summonses, 186 vehicles registered, 19 boat summonses issued and 91 boats registered.
  The security group has been meeting with the General Manager on Mondays, and a dress code has been adopted for staff.
  
8. Report from LOW Fire & Rescue: President Tom Cornell reported that for the month of July there were 67 calls to Rescue in LOW; calls from outside the lake but within Orange County were 44. The Fire Department performed 9 EMS assists, responded to four structure fires and 8 MVA’s.  There was one odor investigation, one brush fire, one vehicle fire, and one road hazard call.  Total calls for the month were 27.
The Rescue Squad will be hosting an EMT class that will start on August 24. The Annual F&R Golf Tournament will be held on September 4th.
F&R expects to be able to sponsor the Fourth of July events next year.
F&R is working with the Board on proposals to change their lease agreements with LOW to allow for subdivision of the property and building which formerly housed the Rescue Squad and Fire vehicles. Survey activity is underway this week around the Holcomb building.
Mr. Williams reminded members they must have a house post at the top of their driveway installed no later than October 1 to facilitate identification by Fire and Rescue.
The Fire and Rescue Annual Fund Drive is now underway, and Mr. Cornell reminded residents how important their financial support is to continuing high quality service to the community.

9. Report from Orange County School Board: District 5 Representative Jim Hopkins handed out some enrollment statistics to those present.  He noted that as of 2009, there were 867 LOW students attending Orange County schools; this does not include any children who are home-schooled or attending private schools. The average growth rate in LOW school students has grown an average of 3.5% per year since 2006. 

He reviewed the path of the new sewer line that will be installed for the new middle school on Rte 611, which as part of the off-site utility plan will be funneled into LOW at the location of the back gate, and run along Lakeview Parkway on the lake side up to Fairfax Lane, where it will then cross Lakeview and run between properties facing Lakeview Parkway and Yorktown Boulevard along back property lines. The contractor will be required to notify any homeowners affected by this work at least two weeks prior to the commencement of such work and be required to restore all existing features to their original location and condition.  

10. Reports of Officers:
   President Wilson gave an update on the status of the dam project and funding sources being pursued for the construction. A special meeting of the Board will take place on August 23 at 4 pm in the Community Center to discuss what form and time schedule would be the best to adopt for any special assessment necessary to pay for the dam upgrade.  Work on the dam itself will not start until after November, with a scheduled completion date of January 31, 2011. President Wilson’s comments can be read in their entirety in the July 31, 2009 Lake Currents.

Mr. Gregg Newhouse has been hired as dam Project Manager, and began work on July 20. General Manager John Bailey has been asked to focus his time on the dam modification project, with Mr. Ted Wessel taking over many of the daily operations duties during his reassignment.

He reported that planned effluent from the wastewater treatment plant at Locust Grove Town Center is about half of what it was originally understood to be (4500 gal vs. 10,000 gal capacity), and that the DEQ will be requiring effluent be tested twice a week for total phosphorus as a condition of permit approval. Lakes Manager April Hughes has found that nitrogen levels in the main lake are twice what they need to be to avoid algal blooms.  If they must use fertilizers, residents are requested to use only those that do not contain phosphorus.

The three beaches that closed this past week on the lakes due to high coliform levels have now been reopened.  Future water samples will be undergoing testing to determine if the contamination was from human or animal sources.

The LOWA Board, member volunteers and local realtors will be hosting an Open House on Sunday, September 13, 2009 from 1 to 4 p.m. to give potential homebuyers a chance to become familiar with LOW and visit our amenities. Real estate agents will be permitted to display traditional “For Sale” signs on selected properties for this event.

Vice President Jeff Flynn took the opportunity to thank outgoing President Wilson for his excellent service as President of the Board this past year, and praised outgoing Director Peter Williams for his stabilizing influence during his tenure as well.  He personally felt that the contributions of Treasurer Olive Kelly to the financial well-being of our Association have been outstanding.

Motion by Flynn, second by Kay, passed unanimously, to approve the following Committee changes: (D-09-56)

Treasurer Kelly’s Report is attached as (D-09-57). She noted that our new audit firm, PBG&H, is expected to complete the audit report for April of 2009 by the end of August.

Briefly, LOWA ended the year on a positive note, with excess revenue of about $80,000, which is already earmarked for bad debt and credit card fees.  In the aggregate, we ended the year with a balance of $1,038,478 in capital reserves.  As of the end of June, there was cash in the bank of around $4.8 million.

Motion by Darby, second by Flynn, passed unanimously, to bar Heather Coleman, Jamie Morgan and Robert Ranno from LOW until their fines are paid in full.
Motion by Darby, second by Kay, passed unanimously, to suspend the driving privileges within LOW of Sonata MacFarland for a period of sixty days.
Motion by Darby, second by Kay, passed unanimously, to suspend the driving privileges within LOW of Kevin Bradshaw for sixty days, and until his fine is paid in full.

11. Report of General Manager: GM John Bailey noted there will be meetings this week with three of the dam contractors and possibly have a contract soon for Board approval.
  Mr. Gregg Newhouse, our newly-hired dam engineer, gave the audience a short summary of his educational background and experience.  He will be working closely with John Bailey and the contractors, with a focus on minimizing disruption to residents and LOW activities for the duration of the dam upgrade project.

12. Committee Reports: There were no committee reports.

13. Member Comments on Business Agenda: There were no comments.

14. UNFINISHED BUSINESS    There was no unfinished business.

15. NEW BUSINESS

15.1 Consideration of Organizational Approach to July Fourth. (D-09-58)
  Motion by Buttimer, second by Williams, passed unanimously, that future Fourth of July activities at Lake of the Woods not be open to the general public.

15.2  Consideration of Budget Guidelines for FY-2010. (D-09-59).
   Motion by Kay, second by Buttimer, to adopt the Budget Guidelines for FY-2010.
   Motion by Sheridan, second by Buttimer, passed unanimously, to amend the Budget Guidelines to change the amount of “Allowance for Doubtful Accounts” specified in Item 3 under the heading “Other” from $50,000 to $28,000.
   Vote on the original motion as amended passed unanimously. 

15.3 Consideration of Request to Enter Lots for Maintenance. (D-09-60).
   Motion by Flynn, second by Darby, passed unanimously, to authorize that the lots identified in the memo dated July 24, 2009 be entered, mowed and cleaned, and that the respective property-owners be billed for the costs related to such work according to Paragraph 14 of the Declaration of Restrictions.

15.4 Consideration of Taking Legal Action Against a Resident. (D-09-61)
   Motion by Kay, second by Williams, passed unanimously, to authorize the General Manager to take legal action against the owners of 126 Saylers Creek Road, regarding barking dogs.
  
16. General Member Comments: Two members requested members to come forward and sign a petition to Governor Kaine, asking him to intervene to return our main dam to its original classification and not permit an unnecessary upgrade.  Suggestions included slowing down the process and working with a new administration in November.  One resident mentioned that some members are concerned about the health and safety of the lake water in non-beach areas. One member wanted to know if we had the ability to get information from RSA on sewer leaks, and where we stood on getting some of our concrete cylinders replaced. (The first priority for use of increased sewer fees levied by RSA is to replace pumps at the pumping stations.)

17. Scheduled Meetings:
Board Workshop: Wednesday, August 19, 2009, at 2:00 p.m. in the lower level of the Clubhouse.  Board of Directors meeting immediately following to discuss architectural and engineering services for the dam.
Special Meeting of the Board: Sunday, August 23, 2009 at 4:00 p.m. at the Community Center. Agenda: Structure of Special Assessment for dam upgrade.
Annual Meeting of the Membership: Monday, September 7, 2009 at 10:00 a.m. in the Community Center.
Board Reconstitution Meeting: Wednesday, September 9, 2009 at 10:00 a.m. in the Woods Center.

18. Adjournment: President Wilson adjourned the meeting at 11:22 a.m.   

Margaret Darby, LOWA Secretary

LAKE OF THE WOODS ASSOCIATION, INC.
Board of Directors Meeting
August 19, 2009, 2:00 p.m., Clubhouse

                                             
Call to Order: With a quorum present, President Wilson called the meeting to order at 12:30 p.m. in the Clubhouse.

1. Executive Session:
Motion by Sheridan, second by Kay, passed unanimously, to enter into Executive Session at 12:32 p.m.

Motion by Flynn, second by Williams, passed unanimously to enter into Open Session at 2:00 p.m., and to affirm that the Board met earlier today in Executive Session and only discussed topics regarding personal, personnel, contractual and/or legal matters.

2. Approval of Agenda:
Motion by Buttimer, second by Kay, to approve the Agenda.
Motion by Buttimer, second by Kay, passed unanimously, to amend the Agenda by deleting Item 3.1: Consideration of Contract for Engineering Services Related to the Dam.

Motion by Kay, to table Item 3.2: Consideration of Agreement with Lions Regarding Use of the Velona-Long building was passed by consensus.

3. NEW BUSINESS

3.3 Consideration of Proposed Amendment to LOWA Bylaws Section D.2. (D-09-62)
Motion by Sheridan, second by Kay, passed unanimously, to direct the Rules Committee to put the amendment to LOWA Bylaws Section D.2: Committees—All Other Committees, into the proper format for a First Reading at the Board of Directors Meeting on October 3, 2009.

Motion by Darby, second by Sheridan, passed unanimously, to amend the proposed amendment to the Bylaws by inserting “All committee meetings will be announced in advance and open to the LOWA membership.” in the first paragraph, after the second sentence following the wording…”the General Manager in carrying out their responsibilities.”

3.4 Consideration of General Manager Appointment. (D-09-63)
Motion by Kay, second by Williams, passed unanimously, to appoint Ted Wessel General Manager, effective September 1, 2009.

4.  Scheduled Meetings:
Special Meeting of the Board: Sunday, August 30, 2009 at 4:00 p.m. in the Community Center. (The President announced that the special meeting of the Board, originally scheduled for Sunday, August 23, 2009, has been postponed to August 30, 2009.) Agenda: Structure of Special Assessment for Dam Upgrade.

5. Adjournment:
With a motion by Kay and second by Darby, President Wilson adjourned the meeting at 2:12 p.m.

Margaret Darby, LOWA Secretary

LAKE OF THE WOODS ASSOCIATION, INC.
Board of Directors Meeting
August 30, 2009, 4:00 p.m., Community Center

Call to Order:
1. With a quorum present, President Bill Wilson called the meeting to order at 3:00 p.m. in the Community Center.

2. Executive Session: 
Motion by Darby, second by Williams, passed unanimously, to enter into Executive Session at 3:02 p.m.

Motion by Flynn, second by Kay, passed unanimously, to enter into Open Session at 4:05 p.m., and to affirm that the Board met earlier today in Executive Session and only discussed topics regarding personal, personnel, contractual and/or legal matters.

Approval of Agenda:  Motion by Darby, second by Kay, passed unanimously to approve the Agenda.

3. NEW BUSINESS
President's Remarks: President Wilson outlined the plans for the dam and the purpose of today's meeting. He then opened the floor for member comments regarding the agenda.  Several members had questions and comments, including requests to postpone consideration of the contract for the dam construction until after Mr. Ralph Holm had met with the Governor's Chief of Staff to present the LOW petitions and letters requesting that the dam project not be required.

3.1 Consideration of Contract for Dam Construction Services.
Motion by Kay, second by Williams, to enter into a contract with Faulconer Construction Company for the Lake of the Woods main dam spillway improvement project for the lump sum amount of $4,751,810.00.

Motion by Sheridan, second by Williams, passed unanimously to table this motion.

3.2  Consideration of Contract for Engineering Services Related to the Dam. (D-09-64)
Motion by Buttimer, second by Kay, passed unanimously, to approve the contract with A. Morton Thomas for engineering services related to the Lake of the Woods main dam spillway improvement project in an amount not to exceed $55,000. (In discussion, this issue was explained to the membership by Mr. Bailey.)

3.3 Consideration of Request to Enter Lots for Maintenance. (D-09-65)
Motion by Flynn, second by Williams, passed unanimously, to authorize the lots identified in the memos dated August 20, 2009 and August 26, 2009, be entered, mowed, and cleaned, and that the respective property owners be billed for the costs related to such work, according to Paragraph 14 of the Declaration of Restrictions.

In discussion, Director Flynn explained that the memos were from the ECC Inspector to the Assistant General Manager, and related to Section 6, Lot 183, and Section 11, Lot 128.

4. Adjournment:
Motion by Darby, second by Kay, passed unanimously to adjourn the meeting and enter into Open Forum at 4:40 p.m.

Margaret Darby, LOWA Secretary

LAKE OF THE WOODS ASSOCIATION, INC.
Minutes of the Thirty-ninth Annual
Meeting of the Membership
September 7, 2009, 10:00 a.m., Community Center

Call to Order: With a quorum present, the Thirty-ninth Annual Membership Meeting was called to order at 10:00 a.m. by President William R. Wilson in the Community Center.

Opening Remarks and Introduction

   President Wilson introduced those LOWA Past Presidents who were present at the meeting and thanked them for their service to the Association.
   President Wilson provided a general overview of the tasks before the Board this year.
Although he felt there was more divergence of opinion on the Board this year compared to past boards, he felt this allowed issues to be given greater due diligence and scrutiny and ultimately worked to the Association’s favor.
   He then introduced each member of the LOWA Board, and gave a short summary of the experience, education, strengths, goals and initiatives each of them has brought to the Board as individuals. He listed some of their accomplishments for the community for the 2008-09 year.
   Mr. Wilson then asked each of the Committee Chairs to stand, and thanked them for donating their time and expertise to the community.  Planning Chair Des Flanagan asked members to provide suggestions for the Five-year Plan for LOW at a joint meeting of the Planning and Finance Committees that will be held the first week in October.
   President Wilson announced the resignation of General Manager John Bailey. Mr. Ted Wessel has been appointed as new General Manager, effective September 1, 2009.

President Wilson reported that LOWA’s finances are in good order based on the most recent audit by PBGH, but that our $1.4 million reserve is too small. The assessment increase this year was kept low to reflect the national economic downturn. He provided a summary of events surrounding our main dam that took place this year, and expressed confidence that the new board will continue to work in the best interests of our members. 

Treasurer Olive Kelly noted that the fiscal reports for the year ending April 30, 2009 will be available at the September 16, 2009 Board Workshop. She gave a brief preview of the findings, noting a $616,000 operating surplus, but inadequate reserves at $1.4 million. As of the end of the first quarter (July 31, 2009), revenues are ahead of our projected budget by $21,000.

Secretary Margaret Darby reminded members that voting for the Board of Directors election will end at 12:00 noon today. She encouraged members to return the Referendum ballots as soon as possible. To date, 1547 referendum ballots have been received, and 2130 are needed for the referendum to pass.

Former General Manager John Bailey presented an overview of the changes and work done in and around the community over the past year, focusing on the dam and all our amenities, facilities and infrastructure. He thanked all the LOWA administrative staff and employees for their efforts and support for the many initiatives that improve the quality of life at LOW.

Resident Chuck Schulle presented a plaque of appreciation from former LOWA Board presidents to Mr. Bailey following his remarks, and thanked him for his eight years of service to the Association. General Manager Ted Wessel’s comments focused on the work that has yet to be done, particularly in the areas of the dam, quality assurance, staff development, expanded use of technology and community relations.Louisa announced the results of Saturday night’s Lighted Boat Parade. First place winner was Neil Buttimer with his entry “Puff the Magic Dragon.”President Wilson then presented LOW Volunteer Fire and Rescue, Inc. with a gift check for $42,000, which was accepted on behalf of Fire and Rescue by Lee Frame.Former Security Chief George Dodson was presented a plaque in gratitude for his dedicated service to the Community, and which honors Mr. Dodson by naming the guardhouse at the main gate the “Dodson Building”.

Honor Awards Committee Presentation

Honor Awards Committee Chair Joyce Haring presented the annual awards to selected LOWA members in recognition of their outstanding service to the community as follows:

• Warren J. Lodge Award for Excellence: Betty Hughes
• Distinguished Service Award: Carolyn Nowakoski and Robert Sherba
• Outstanding Service Award: Lois Powell and Carole Roddy
• Outstanding Youth Award: Allyson Dodson
• Certificates of Appreciation: Helga Birdsong, Dick and Kathleen Bradie, Joan Burnett, Connie Buttimer, Robert Cooke, Jim Danoy, John Martin and Martha Sukites.   

Director Service Awards: Bill Wilson and Peter Williams  As a special gift from the Board, Vice President Jeff Flynn presented a framed print of the 14th hole at LOW Golf Course by artist David Gill to President Wilson in recognition and gratitude for his leadership as President of LOWA this past year.        

Open Forum (Member Questions)  

President Wilson, GM Ted Wessel and former GM John Bailey responded to several questions from members concerning vandalism alerts, school bus parking at the campground, availability of funds to pay for aeration at Keaton’s Lake, and the sales status of lots owned by LOWA.

Close of Voting for Election of Board Members: President Wilson announced the close of voting for the Board election would take place at 12:00 noon today.

Adjournment  The meeting was adjourned by President Wilson at 11:23 a.m.

Margaret Darby, LOWA Secretary

Lake of the Woods Association, Inc.
Board of Directors Meeting
September 9, 2009, 9:00 a.m., Woods Center

1. Call to Order: With a quorum present, President Wilson called the meeting to order at 9:00 a.m. in the Woods Center.

2.  Approval of Agenda: Motion by Buttimer, second by Kay, passed unanimously to approve the agenda as submitted.

3. Certification of Election Results:
President Wilson presented the results of the Board of Directors election as certified by the Chairman of the Elections Committee and the Board Secretary, and reported in their memo dated September 8, 2009 as follows: (D-09-66)

Ms. Kelly and Mr. Rowland were elected to the LOWA Board of Directors to serve three year terms.
Motion by Kay, second by Williams, passed unanimously, to certify the election results as reported.

4.  Election of Officers:
Election of President: Motion by Flynn to nominate Bruce Kay. Motion by Buttimer to nominate Tom Sheridan. Kay received 4 votes, Sheridan 3.  Mr. Bruce Kay was elected LOWA President.
Mr. Wilson then invited the new Board members to be seated and withdrew. 
Mr. Rowland was out of the country and joined the new Board via teleconference.

Election of Vice President: Motion by Darby to nominate Jeff Flynn for Vice President. Motion by Sheridan to nominate Pat Rowland. Flynn received 4 votes, Rowland received 2 votes. (Mr. Rowland abstained.)  Mr. Jeffrey Flynn was elected LOWA Vice President.

Election of Treasurer: Motion by Flynn to nominate Olive Kelly. Motion by Buttimer to nominate Tom Sheridan. Kelly received 4 votes, Sheridan 3.  Ms. Olive Kelly was elected LOWA Treasurer.

Election of Secretary: Motion by Kelly to nominate Margaret Darby. There being no other nominations, Mrs. Margaret Darby was unanimously elected LOWA Secretary.

5.  President’s Remarks:
     President Kay, after mentioning that Lake of the Woods is a secured, gated community with amenities rather than a country club, stated some of his priorities for the Board and assigned some of the related tasks as follows:
- Dam
- Maintenance - Flynn to lead this task
- Storm Water Management Plan - cost to association/members
- Golf/Woods Center operations - Sheridan and Darby to work on this task
- Cost control/finance - Kelly
- Communication - Buttimer/Rowland (website makeover, member services, seam
      together Lake Currents/Channel 18/LOWA website)
- Amenities - All LOWA Board members (use, fees, maintenance)
- LOWA Organization - General Manager (organization charts, staff networking, training, staffing, member services)

6.  Committee Liaisons:
Board members were invited to choose their preferred committee liaisons for the year.  Assignments were accepted as follows: Kay: Honors & Awards; Flynn: M&E, Lake Users and Safety & Security; Buttimer: Communications, Rules, Equestrian and Youth Activities; Sheridan: Golf, Pools & Fitness, Tennis; Darby: Legal & Compliance, ECC and Elections; Kelly: Finance and Clubhouse; Rowland: External Affairs and Planning.

7.  Scheduled Meetings:
Board Workshop: Wednesday, September 16, 2009 at 2:00 p.m. in the lower level of the Clubhouse.
Monthly Board Meeting: Saturday, October 3, 2009 at 10:00 a.m. in the Community Center.

8.  Adjournment:
Motion by Buttimer, second by Darby, passed unanimously to adjourn the Open Session and enter into Executive Session at 9:20 a.m. to discuss legal issues.

Motion passed unanimously to adjourn the Executive Session at 10:47 a.m.

Margaret Darby, LOWA Secretary

LAKE OF THE WOODS ASSOCIATION, INC.
Board of Directors Meeting and Workshop
September 16, 2009, 2:00 PM, Clubhouse

 1. Call to Order: With a quorum present, President Bruce Kay called the meeting to order at 2:02 p.m. in the lower level of the Clubhouse.
Motion by Flynn, second by Darby, passed unanimously, to enter into Open Session at 2:03 p.m., and to affirm that the Board met on September 9, 2009 in Executive Session and only discussed topics regarding personal, personnel, contractual and/or legal matters.

President Kay announced he has received two inspection reports from the engineering firm of Dewberry and Davis, one for each of our dams, dated March of 2008, which were passed to the Lakes Manager by former GM John Bailey a week ago. The report on the main dam identified no safety issues, but recommended several changes/improvements relative to non-safety modifications.  He said he has met with appropriate staff members and dam consultants to review these reports, and some of the changes can easily be done by our own maintenance department. The report on Keaton’s Run dam recommended some spillway modifications, but also noted no safety issues. Dam Project Manager Gregg Newhouse and A. Morton Thomas Engineering will review this report to identify any urgent need for remediation in advance of renewing our conditional permit with the State which is due to expire in 2010, and prepare a report prior to the October 3, 2009 Board meeting. 

2.  Approval of Agenda: Motion by Buttimer, second by Sheridan, passed unanimously, to amend the Agenda by adding Item 8.4: Consideration of Board Resolution on the Classification of the Main Dam.

3. Approval of Minutes of August 1, 2009, August 19, 2009, August 30, 2009, September 7, 2009 and September 9, 2009.
Motion by Darby, second by Sheridan, passed unanimously, to approve the minutes of the August 1, 2009 Board meeting.
Motion by Darby, second by Flynn, passed unanimously, to approve the minutes of the August 19, 2009 Board meeting.
Motion by Darby, second by Kelly, passed unanimously, to approve the minutes of the August 30, 2009 Board meeting.
Motion by Darby, second by Kelly, passed unanimously, to approve the minutes of the September 7, 2009 Annual Meeting of the Membership.
Motion by Darby, second by Sheridan, passed unanimously, to approve the minutes of the September 9, 2009 Board meeting.

4.  Report of the General Manager on Procedures for Changing Regulations and By-laws.
General Manager Ted Wessel said he has reviewed the LOWA documents governing the proper procedures for making changes to Association regulations and By-laws, and has determined that they contain numerous deficiencies, including wording that is open to
interpretation, lack of clear responsibility for specific tasks, and lack of clear supervisory, reporting and follow-through responsibilities. These deficiencies will need to be remediated to insure proper and timely processing of proposed changes to LOWA Regulations and By-laws.

5. Approval of Committee Appointments:
Motion by Flynn, second by Buttimer, passed unanimously, to approve the following committee changes: (D-09-66)

6. Member Comments on Business Agenda: There were no comments from members on the Business Agenda.

7. UNFINISHED BUSINESS

7.1 Presentation by PBGH Accountants on the Lake of the Woods Audit Report.
Mr. Wessel distributed copies of the final LOWA Audit report for the Fiscal Year ending April 30, 2009 to the Board members. Two accountants representing the accounting firm of PBGH were in attendance and answered several questions from Directors Buttimer, Kay and Sheridan.
The report will be available in the Reading Room at the Holcomb Building for members who want to review it.

8. NEW BUSINESS

8.1 Discussion of Employee Benefits Policy Renewal (Healthcare)
General Manager Ted Wessel gave the Board an overview of the process followed by administration in reviewing the health insurance policy for LOWA employees. Anthem BC/BS had the best overall cost/benefits package and will continue as our health insurance provider for 2009-10, offering the same coverage with only two minor changes for a $1950 increase in premium.
Phil Howard, LOWA’s insurance broker, reported to the Board at the end of the meeting that there was a small increase in the health insurance costs to the Association, with only a slight change in prescription drug benefits (co-pay fee laddering change) and the cap. Five insurers were considered as carriers for dental coverage, and Met Life was selected with a small increase in the premium over last year. LOWA life and disability insurance coverage will be underwritten by Mutual of Omaha.
Motion by Buttimer, second by Sheridan, passed unanimously, to authorize the General Manager to enter into a contract with the appropriate carriers for renewal of employee health benefits.

8.2 Consideration of Revision to Regulation V.E.9: Use of Individually-owned Property. (D-09-67)
Motion by Sheridan, second by Buttimer, to enact on a provisional basis and approve revisions to Regulation V.E.9: Use of Individually-owned Property (address posts), by changing the wording from the current “4 inch” height requirement for the reflective address post house numbers to “3.5 inches”.
Motion by Darby, second by Sheridan, passed unanimously, to change the proposed new wording of Regulation V.E.9: Use of Individually-owned Property (address posts) from the current “4 inch” height requirement for the reflective address post house numbers to “3 to 4 inches.”
Vote on the original motion as amended passed unanimously.

8.3 Consideration of Construction Contract for the Dam. (D-09-67)
Motion by Buttimer, second by Darby, passed unanimously, to authorize the Lake of the Woods Association to enter into a contract, no earlier than September 21, 2009, with Faulconer Construction Company for the Lake of the Woods Main Dam spillway improvement project, in the lump sum amount of $4,751,810.00, pending satisfactory resolution of the Memorandum of Agreement (MOA) with the Commonwealth of Virginia.

8.4 Consideration of Board Resolution on the Classification of the Main Dam. (D-09-68)
Motion by Buttimer, second by Darby, passed unanimously, to adopt the following Resolution: Director Neil Buttimer read into the record a copy of the Resolution of the Board on the Classification of the Main Dam which states that the position of the LOWA Board of Directors is that the main dam should be classified by the Virginia Soil and Water Conservation Board as a Significant Hazard Potential Impounding Structure. 

9.  Board of Directors’ Goals for the Year:
Director Sheridan noted he will be working with Director Darby on developing a new business plan for the Woods Center and Fareways grill to find ways to increase customer traffic and improve income.
Treasurer Kelly said she will focus on streamlining accounting functions and processes and continue to look at cost savings.
Secretary Darby will be working on a new business plan for the Woods Center with Director Sheridan, and wants to explore ways to improve communications with members and improve the overall appearance of residential properties.
Director Buttimer said his priorities would be to work on future planning to establish a viable 5-Year Plan, and find ways to improve LOW’s image using both internal and external initiatives that will maintain property values.
Vice President Flynn cited maintenance and stormwater management issues as his priorities.
President Kay asked Director Kelly and GM Ted Wessel to work together on the feasibility of establishing a contingency fund to cover maintenance-related ECC expenses, which have been especially numerous this past year.

10. General Member Comments: One member requested the Board’s permission to meet personally with LOWA legal counsel on behalf of the 1000 petitioners who oppose the upgrade of the dam; another member encouraged the Board not to sign a contract for dam upgrade construction, hire new legal counsel, and send a Board representative to the Soil Water and Conservation Board meeting tomorrow to present the Board’s Resolution.
One member encouraged the Board to find a way to get more members to return ballots on the Referendum before the membership (deletion of Right of First Refusal), since not enough ballots have been returned for it to pass; another member felt that the retention of Paragraph 17 of the LOWA Declaration of Restrictions now being re-considered by Referendum served as a tool for the Association, while acknowledging the disadvantages posed for those seeking VA mortgage loans.  

11. Scheduled Meetings:
Board Retreat: Wednesday, September 30, 2009 at 9:00 AM in the Germanna Room of the Clubhouse.
Board Meeting: Saturday, October 3, 2009 at 10:00 AM in the Community Center.
Board Meeting: Wednesday, October 21, 2009, at 2:00 PM in the lower level of the Clubhouse.
Board Meeting: Saturday, November 7, 2009, at 10:00 AM in the lower level of the Clubhouse.

12. Adjournment: President Kay adjourned the meeting at 3:07 PM

Margaret Darby, LOWA Secretary

LAKE OF THE WOODS ASSOCIATION, INC.
Board of Directors Meeting
October 3, 2009, 10:00 a.m., Community Center

1. Call to Order:
    With a quorum present, President Bruce Kay called the meeting to order at 9:15 a.m. in the Community Center.

2. Executive Session: Motion by Buttimer, second by Rowland, passed unanimously, to enter into Executive Session at 9:15 a.m.   
   Motion by Rowland, second by Buttimer, passed unanimously, to enter into Open Session at 10:03 a.m., and to affirm that the Board met earlier in Executive Session and only discussed topics regarding personal, personnel, contractual and/or legal matters.

3.  Approval of Agenda:
   Motion by Darby, second by Sheridan, to approve the Agenda.  Motion by Buttimer, second by Darby, passed unanimously, to delete Item 14.6: Consideration to Purchase LOWA Property. Vote on the original motion as amended passed unanimously.

4. Approval of Minutes of September 16, 2009.
    Motion by Darby, second by Sheridan, passed unanimously, to approve the minutes of the September 16, 2009 Board meeting.

5. Report of Orange County District Supervisor: District 5 Supervisor Lee Frame reported that a lawsuit has been filed against Orange County subsequent to their recent approval of Walmart, brought by a coalition of conservation groups in partnership with several individuals. He reviewed the four claims made in the lawsuit and orders requested by the plaintiffs, and said the cost of litigation will have to be paid by the taxpayers. Orange County will be asking for a dismissal.
  County stickers will be distributed to residents along with the next county tax billing, to allow residents entry to the county landfill and convenience centers.
   The county will be signing a contract in the next few days to purchase land for a new Fire and Rescue station at Mine Run, which should improve service to that area of Orange County and supplement needs in the northeastern sector of the county. The land is being purchased with county funds, but we have also applied for a $2M stimulus grant from the government to help with the costs.
   A 23-month-old toddler was killed a few days ago by the family dog. The county attorney was already working on drafting new ordinances with regard to dogs, but the new ordinances proposed would not have been relevant in this particular case.

6. Report of Orange County Sheriff: Chief Deputy Tim Murphy reported that during the month of September there were 2738 calls for service, bringing the year-to-date total to 25,495.  There were 54 warrants and 995 civil papers served, and 341 traffic summonses issued. In LOW, there were 47 calls for service and 79 civil papers served. There were 53 traffic tickets written on Route 3 alone, bringing the year-to-date total to 324.
  As the result of a Blue Ridge Narcotics Task Force initiative on September 4, marijuana and firearms were seized. There was one arrest for possession of drugs and a firearm, and a second arrest is pending. He also reported several break-ins at businesses along Route 3 in the past month, and the Sheriff’s office would appreciate any information from citizens to help solve this case.
   Traffic accidents are at a 10-year low in Orange County, even though there are over 5000 more licensed drivers in the county than there were in 1999. It is felt that the commitment of two deputies to full-time traffic detail, increased enforcement locally and by State Police, and assistance from VDOT has contributed to the good results.
  The Sheriff’s Office has received two new GPS units that can be installed on vehicles and vehicle movement monitored from the office.
  Two new officers have been hired, one for patrol and one for animal control. One other candidate is attending patrol school.  

7. Report from Security: Captain Elliott reported that there were 221 complaints received in September, and 49 traffic summonses issued. There were three arrests, all involving alcohol violations. Eighty new vehicles were registered and there were four vandalism incidents.

8. Report for LOW Volunteer Fire & Rescue: Tom Cornell reported that in September Rescue ran 45 calls in LOW and 46 calls in the rest of Orange County. The Fire Department ran 8 EMS calls, responded to 10 MVA’s, prepped one landing zone for a helicopter, and had one hazmat incident, 2 fire alarms, one tree fire due to a power line, and two structure fires and several miscellaneous calls.  There were 11 calls from inside LOW and 18 calls from the county.

9. Report from Orange County School Board Representative: Jim Hopkins reported that OC public schools is working with the Rappahannock/Rapidan Regional Health Authority to make flu vaccinations available to all students. Free clinics will be conducted by the Health Department nurses in all Orange County schools when the vaccine becomes available. Vaccination is voluntary and parental permission will be required.

LOW’s back gate will be closed for a couple of weeks from October 12-23 to allow for installation of the sewer system for the new middle school. LOW maintenance has given early notice to members by posting closing signs at the back gate.  

10. Report of Officers:
      President Kay reported that the Board held a retreat this past week.  Action items that emerged from this gathering will be published in Lake Currents. A 5-year lease agreement with the Lions Club for the Velona Building was completed last Friday.  A loan commitment has been received from Stellar One bank for $5 million for the dam construction. The contract with Faulconer Construction was signed on October 1.

Approval of Committee Appointments:
Motion by Flynn, second by Buttimer, passed unanimously, to approve the following committee changes as listed in the memo dated September 29, 2009: (D-09-69)

Name                                      Status              Committee
Roxanne Kessler                      Voting              Rules
David Ketch                             Voting              Pools & Fitness
Kerry Sipe                               Voting              Communications
Costa Apostolakis                    Alternate          Communications
Penny Siegel                             Alternate          Communications
Betsy Wilson                            Alternate          Clubhouse
David Francis                           Advisor            Finance
Bill Grogan                               Resign              Legal & Compliance
Frederick Wellman                   Resign              Lake Users

Treasurer Kelly’s report is attached as (D-09-70).  Briefly, Ms. Kelly reported that in the first four months of the fiscal year, average expenses per month were about $521,000 compared to average revenues of $689,000. This reflects a positive budget variance, which is good news. Quarterly financial reports will be published in Lake Currents in the near future in place of the monthly reporting schedule used in the past.

Motion by Darby, second by Rowland, passed unanimously, to bar Jane Dabney and Margaret Floyd from LOW until their fines are paid in full.
Motion by Darby, second by Sheridan, passed unanimously, to deny the appeal of Thomas Curry.
Motion by Darby, second by Rowland, passed unanimously, to accept the appeal of Robert Diaz.
Motion by Darby, second by Rowland, passed unanimously, to suspend the driving privileges within LOW of Robert Nave, Jr. and David Staab III for 90 days.
Motion by Darby, second by Rowland, passed unanimously, to suspend the driving privileges within LOW of Kevin Bradshaw for one year.

11. Report of General Manager:  GM Ted Wessel reported that a demolition permit has been obtained and a demolition contract signed for removal of the house on Yorktown Boulevard, and work should begin next week.

The back gate mechanics continue to work sporadically due to card reader malfunctions, but administration is still working on correcting the problem. He said he will contact RSA regarding the concerns surrounding the planned work on Rte. 601 to mitigate inconvenience to our members who use the back gate.
The deadline for the installation of house posts was October 1. Enforcement may be delayed for a while to give members more time to accomplish installation.
He said his office is trying to identify good candidates to fill the Assistant General Manager’s position and a Director of Finance.  He is also working with Security on preparing an improved monthly report for our members.
He said he gets more than 100 e-mails a day, and asked members to be patient as he tries to find a good system that will allow him to respond more quickly.
The stormwater management report is now available, and will be discussed at the October 21 Board meeting.

12. Committee Reports: Jim Drabant, Finance Committee Chair, reported that the budget hearings have been rescheduled to November. The Planning Committee will be attending the Finance Committee budget review sessions; this will shorten the timeframe for the budget process and avoid repetition of material reviewed. The committee is awaiting the release of the Reserve Study. He is working on articles for Lake Currents that will keep members informed on important LOW finance and budget issues.

Des Flanagan, Planning Chair, reported that the Committee is focusing on the Five-year Plan with joint hearings on the 2010 budget scheduled for November, to be followed by land-use planning hearings focusing on the 2011-14 budget. He encouraged members to contact the committee with their ideas.

13. Member Comments on Business Agenda: One member praised the openness of the Board relative to communication; however, noted the agenda for this meeting was not published in a timely way and members do not have enough information on dam financing plans.

14. UNFINISHED BUSINESS

14.1 Consideration of Proposed Amendment to LOWA Bylaws Section D.2.  (First Reading) (D-09-71)
Motion by Sheridan, second by Darby, passed unanimously, that the Rules Committee prepare for publication in the next available Lake Currents the text of the formulated proposal to change Section D.2--All Other Committees, of the LOWA Bylaws, together with a request for members of the Association to submit comments to the Board by November 25, 2009 for consideration during the Board meeting of December 5, 2009.

Motion by Rowland, second by Sheridan, passed unanimously, to amend the proposal to change Bylaws Section D.2.by amending subparagraph e. by adding to the proposed language the following:

“Whenever any Committee plans to submit to the Board of Directors a proposal which would require the changing of any existing amenity, Bylaw, Regulation or fee, it shall invite public comment by the membership at a hearing held no less than seven days after a notice of said hearing, and the text of the change will be published in the Association publication and on its website prior to it being submitted to the Board. When the Board receives a committee-approved proposal, it may refer it to such other committee or committees as may be involved for review and recommendations. Those committees may, but are not required to, conduct additional hearings. Further, the Rules Committee is requested to change any other Regulation or Bylaw to conform with this amendment.”

Vote on the original motion as amended passed unanimously.

14.2 Consideration of Revision to Regulation IV.G--Other Activities. (First Reading)
Motion by Flynn, second by Darby, that the Rules Committee prepare for publication in the next available Lake Currents the text of the formulated proposal to change Regulation IV.G—Other Activities, together with a request for members of the Association to submit comments to the Board by November 25, 2009 for consideration during the Board meeting of December 5, 2009.
Motion by Buttimer, second by Darby, passed unanimously, to table the motion to a future meeting.

14.3 Consideration of Revision to Regulation XIV.E.2--Schedule of Penalties for Violations. (First Reading)
Motion by Buttimer, second by Sheridan, passed unanimously, to table the motion to a future meeting.

14.4 Consideration of Special Assessment for the Main Dam spillway improvement project. (D-09-72)
Motion by Kelly, second by Sheridan, that LOWA adopt a special assessment to fund modifications to and maintenance of the LOWA dams in accordance with the Resolution contained in the Board package.

Motion by Buttimer, second by Flynn, passed unanimously, to amend the Resolution to eliminate those items that relate to the Keaton’s Run Lake dam.

Motion by Buttimer, second by Sheridan, to amend the motion to change the amount of the proposed assessment on line 3 of paragraph 9 of the Resolution from $1410 to $1200, and that the other financial figures in the paragraph be adjusted to reflect this change.

Vote on the motion: Yea: Sheridan, Buttimer and Rowland. Nay: Flynn, Kelly and Darby. President Kay voted “yea” to break the tie. Motion passed.
   Vote on the original motion as amended: Yea: Sheridan, Buttimer, Rowland and Darby. Nay: Kelly and Flynn.  Motion passed.

14.5 Consideration of Stellar One Bank Loan. (D-09-73)
Motion by Kelly, second by Darby, passed unanimously, to authorize the Lake of the Woods Association to enter into a loan agreement with Stellar One Bank in the amount of five million dollars ($5,000,000).

15. NEW BUSINESS  There was no new business.

16. General Member Comments: One member asked what happened to the low-cost loan offered by the State (it was a non-negotiable15-year bond with other unfavorable terms, requirements and interest rates); another member noted that we are signing a contract for the dam prior to receiving the $1M loan, that the complete terms of the loan are not known to members, that the loan and assessment processes seem to be moving too quickly, and the December 1, 2009 due date for the dam assessment is going to present a hardship for some members; one member thanked the Board for the real estate Open House; a member admonished the Board for proceeding with the dam contract and loan, and another said LOWA erred years ago by not challenging DCR through the courts on the state’s reclassification of the dam.

17. Scheduled Meetings:
Board Meeting: Wednesday, October 21, 2009, at 2:00 p.m. in the lower level of the Clubhouse.
Coffee and Conversation with the Board, Saturday, October 24, 9:00-11:00 a.m., at the Clubhouse.
Board Meeting: Saturday, November 7, 2009, at 10:00 a.m. in the lower level of the Clubhouse.

18. Adjournment:  President Kay adjourned the meeting at 11:50 a.m.

Margaret Darby, LOWA Secretary

LAKE OF THE WOODS ASSOCIATION, INC.
Board of Directors Meeting
October 21, 2009, 2:00 p.m., Clubhouse

1. Call to Order:
    With a quorum present, President Bruce Kay called the meeting to order at 2:00 p.m. in the lower level of the Clubhouse.
    President Kay announced that, having heard members' comments through e-mails and at last night’s Civic Club meeting, the Board will be meeting in Executive Session sometime within the next week to discuss what can be done about easing the terms of the special assessment payment schedule in relation to the contract for the dam upgrade.

2.  Approval of Agenda:
     Motion by Rowland, second by Sheridan, passed unanimously, to approve the Agenda as submitted. 

3. Approval of the Minutes of October 3, 2009.
    Motion by Darby, second by Buttimer, passed unanimously, to approve the minutes of the October 3, 2009 Board meeting.

3a. Vice President’s Report: Approval of Committee Appointments.
    Motion by Flynn, second by Sheridan, passed unanimously, to approve the following committee personnel changes: (D-09-74)

4.   Member Comments on Business Agenda.  One member said he does not want the Board to cancel the Christmas party and that money issues are not a good reason. Another member supported canceling the Christmas party and the fireworks display and using the money saved to help members with the dam assessment.

5. OLD BUSINESS     There was no Old Business.

6. NEW BUSINESS

6.1.Consideration of 401K Plan. (D-09-75)
      Motion by Sheridan, second by Darby, passed unanimously, to approve and adopt the Lake of the Woods Association, Inc. 401(K) Retirement Plan as presented at this meeting effective May 1, 2010, and that the proper officers of Lake of the Woods Association, Inc. are hereby authorized and directed to execute the volume submitter plan document. (This plan renews the current plan and adds the loan option.)

6.2. Consideration of Revision to Regulation IV.G: Other Activities (Littering).  (First Reading) (D-09-76)
Motion by Flynn, second by Buttimer, passed unanimously, that the Rules Committee prepare for publication in the next available Lake Currents the text of the formulated proposal to change Regulation IV.G: Other Activities, together with a request for members of the Association to submit comments to the Board by November 25, 2009, for consideration during the Board meeting of December 5, 2009.

Motion by Buttimer, second by Sheridan, passed unanimously to amend the dates to December 11, 2009 and January 2, 2010, respectively. Original motion, as amended, passed unanimously. (This action adds a “no littering” stipulation at the 9.9 site, except for those items currently authorized such as leaves and small limbs.)

6.3. Consideration of Addition to the Regulations Regarding the Virginia Boating Safety Education Requirements. (First Reading)
Motion by Buttimer, second by Sheridan, that the Rules Committee prepare for publication in the next available Lake Currents the text of the Virginia Boating Safety Education requirements, together with a request for members of the Association to submit comments to the Board by December 18, 2009 for consideration during the Board meeting of January 2, 2010.
Motion by Rowland, second by Darby, to table this motion to a future meeting. Vote on the motion: Yea: Darby, Rowland, Buttimer and Sheridan. Nay: Flynn. Motion to table passed 4 to 1.

6.4. Consideration of Revision to Regulation XIV.E.2: Schedule of Penalties for Violations. (Virginia Boating Safety Education Regulation Penalties) (First Reading)
  Motion by Buttimer, second by Sheridan, passed unanimously, to withdraw this item based on the tabling of the previous motion.

6.5. Consideration of Fireworks Contract. (D-09-77)
   Motion by Darby, second by Flynn, passed unanimously, to approve the contract with Dominion Fireworks in the amount of $15,012.00 for the July, 2010 fireworks display.
   (This motion approves paying a 50% deposit of the amount originally agreed upon in the 2007 contract. The Association has the authority to cancel the contract; otherwise, the deposit is required as a retainer on the contract.)

6.6. Consideration of the Annual Holiday Party.
   Motion by Flynn, second by Darby, failed unanimously, to cancel the annual Association Holiday Party.
  (This motion was addressed due to budget considerations; however, the Board unanimously agreed that this is important enough to the membership that the small budget shortfall of $1500 can be compensated for within the budget.)

6.7. Discussion of Stormwater Management Guidance Report. 
   Following discussion, the Board requested the General Manager to work up the cost of the recommendations made in the report, and that we obtain advice from our HOA attorney regarding the Association "owning" their efforts to improve stormwater issues. The report summary will be published in the Lake Currents, and the full report will be made available in the Reading Room of the Holcomb Building.

6.8. Discussion of Reserve Study.
    The Board entered into an extensive discussion on the lengthy Reserve Study, a copy of which is available to members in the Reading Room.

6.9. Discussion of Collections Procedures.  At his request, LOWA Collections Attorney Mr. Henry Carter was invited to speak to the Board to review the history and practices of the collections process. He would like to continue to work for the Association on resolving delinquencies. Mr. Carter was asked by President Kay to write up and submit a proposed resolution for the Board’s approval giving him more specific authority and powers on behalf of the Association to simplify key collections court processes. He hopes to have a draft document ready by November 3, 2009.  

7.  Open Board Discussion.
   Director Buttimer asked the General Manager if the defibrillators have been removed from all of the Association facilities and if so, why. Mr. Wessel explained that this was on the advice of the Attorney since the Association could be held accountable if an individual who has not been certified used the defibrillator unsuccessfully. If the patient died, even if not the fault of the person using the defibrillator, the Association could be held legally accountable. He is working on this issue and getting some employees certified to use the defibrillators.

8. General Member Comments: Several members spoke about their discontent with the way the Board handled the assessment for the dam, some had ideas on how the community can help those who are in dire straits and cannot pay the assessment; a couple of members did not feel we should discuss the assessment for the dam contract in executive session; one member offered to assist with the legal aspects of the Association assisting members with the assessment; some continue to feel that the Board should not even follow the State's mandate to upgrade the dam; and one member asked about the ballot status on the Referendum to eliminate the “Right of First Refusal” clause.

8.a Consideration of Extending Referendum Ballot Deadline. (D-09-78)
     Following discussion on the "Right of First Refusal" Referendum ballot, motion by Buttimer, second by Sheridan, passed unanimously, to extend the deadline for ballot returns from November 7, 2009 to February 1, 2010, and to direct the General Manager to determine costs and prepare for a second ballot mailing to those members who have not voted on the issue.

9. Scheduled Meetings:
Coffee and Conversation with the Board: Saturday, October 24, 2009 at 9:00 a.m. at the Clubhouse
Board Meeting: Saturday, November 7, 2009, at 10:00 a.m. in the lower level of the Clubhouse.
Board Meeting: Wednesday, November 18, 2009 at 2:00 p.m. in the lower level of the Clubhouse.

10. Adjournment: President Kay adjourned the meeting at 4:05 p.m.

Margaret Darby, LOWA Secretary

LAKE OF THE WOODS ASSOCIATION, INC.
Board of Directors Meeting
November 7, 2009, 10:00 a.m., Clubhouse

1. Call to Order:
    With a quorum present, President Bruce Kay called the meeting to order at 9:14 a.m. in the Clubhouse.

2. Executive Session: Motion by Rowland, second by Sheridan, passed unanimously, to enter into Executive Session at 9:15 a.m. 
    Motion by Sheridan, second by Darby, passed unanimously, to enter into Open Session at 10:04 a.m., and to affirm that the Board met earlier today in Executive Session for the purpose of discussing several personal, personnel, contractual and/or legal matters.

3.  Approval of Agenda:
     Motion by Darby, second by Rowland, to approve the Agenda.  Motion by Flynn, second by Buttimer, passed unanimously, to delete Item 14.1: Request to Purchase LOWA Property, and approve the Agenda. Original motion as amended passed unanimously.

4. Approval of the Minutes of October 21, 2009.
    Motion by Darby, second by Flynn, passed unanimously, to approve the minutes of the October 21, 2009 Board meeting.

5. Report from Orange County District 5 Supervisor: Supervisor Lee Frame reported that Orange County car stickers have been mailed to residents with their December tax bill. This will allow entry to the landfill and convenience centers starting January 1, 2010.
   Traffic counts by VDOT were found to be high enough at the intersection of Rtes 20/611 to require a light, which will be installed when funds are available.
   The County is proposing a new ordinance to tighten laws governing dogs running at-large that should provide increased protection for residents and property.
   He said RSA is planning to build a new sewage plant at a cost of $14.4 million, and a rate increase will be needed to pay for the bond issue.
   The County plans to file a motion to dismiss the lawsuit filed against them for approving the construction of a Walmart store, which is scheduled to be heard in February.

6. Report from Orange County Sheriff: No report was available.

7. Report from Security: Captain Elliott reported that for the month of October there were 135 calls for service, compared to 221 in September. There were 8 animal complaints, 1 arrest, 47 traffic summonses issued, 125 vehicles registered, 4 MVA’s and no incidents of vandalism. Halloween night activities occurred without incident.

8. Report from LOW Volunteer Fire & Rescue: Tom Cornell reported that in October there were 30 calls to the Fire Department (14 inside LOW and 16 outside). Nine of these were motor vehicle accidents and one was a structure fire. There were 52 calls for the Rescue Squad, 22 of them inside LOW.
    He reminded members that donations are still needed and appreciated. He advised residents that the local political signs supporting Deeds for governor did not come from LOWA Fire and Rescue, and their source remains unknown.

9. Report from Orange County School Board Representative: Jim Hopkins reported that Orange County High School has the highest on-time graduation rate among 15 area counties at 91.2%, with a dropout rate of 2.5%, which is the lowest rate.

10. Reports of LOWA President, Vice President, Secretary and Treasurer.
      President Kay reported that community alert notices are now posted on the LOWA website. There will be a dam program review on November 18 at 2:00 p.m. at the Community Center.
     Members of the newly-formed Dam Project Management Committee are Chair Mike Rugless, Jim Drabant, Elton Rupe and Gregg Newhouse.
     He mentioned he met with Senator Edd Houck, Del. Ed Scott and lobbyist Trey Adams to discuss options relative to the dam modifications.
   As of yesterday, the Association has received $592,242 in special assessment income.

   Motion by Flynn, second by Buttimer, passed unanimously, to approve the following Committee personnel changes: (D-09-79)

   The Treasurer’s Report is attached as (D-09-80).  Ms. Kelly gave a brief report on the Operations Budget. As of September 30, there is a slight shortfall in revenues of $21k when compared to budget.

    Motion by Darby, second by Rowland, passed unanimously, to bar Christopher Bell and Samantha Pillar from LOW until their fines are paid in full.
   Motion by Darby, second by Flynn, passed unanimously, to suspend the driving privileges with LOW of Samantha Pillar and Maria Sporn for 60 days.

11. Report from the General Manager: General Manager Ted Wessel introduced the new Assistant General Manager of Operations, Rob Martin who will start his job on Monday. He announced Mr. Elton Rupe is now the Assistant General Manager of Facilities, and has been assigned additional responsibility for supervising the Quality Management program.

12. Committee Reports: Clubhouse Committee Chair Dave McKee announced that improvements are planned for the lower level of the Clubhouse using volunteer labor and funds. Those wishing to help can contact him or Joan Harteveld.
 
13. Member Comments on Business Agenda: Seventeen members commented on the $1200 dam assessment, citing short notice, a shortage of payment options, high interest rate, poor timing, conflict with holiday expenses and overall financial hardships for some members and families in a poor job market and economy. One member collected 900 signatures to submit a repeal of the special assessment to the Board, if necessary. A few members asked the Board to continue to object to an upgrade of the dam through the new governor and state administration, or at the next meeting of the Soil and Water Conservation Board. Support for continued dam reclassification negotiations to eliminate burdensome regulations was offered by the Susan Allen Republican Women’s Club and the Republican Party of Orange County. One member offered suggestions for a more flexible payment plan for the assessment fee. One member encouraged the Board to send a copy of the Board’s Resolution on the dam classification to the Soil and Water Conservation Board to go on record with them and create an opening for further negotiations.

14. OLD BUSINESS

14.1 Consideration of Request to Purchase LOWA Property. (This item was removed from the agenda.)

14.2 Consideration of Retaining the Law Firm of Somerville, Carter and Wilkinson for collections. (D-09-81)
   Motion by Kelly, second by Darby, passed unanimously, to approve the enclosed resolution, which clarifies the policies and procedures for the collection of delinquent accounts and the duties, fees and costs associated with the collection of same.

14.3 Consideration of Addition to the Regulations Regarding the Virginia Boating Safety Education Requirements. (First Reading) (D-09-82)
   Motion by Flynn, second by Rowland, passed unanimously, that a request for comments on the proposed draft amendment to add to the Virginia Boating Safety Education requirements to the LOWA Regulations be published in the November 20, 2009 edition of Lake Currents, for soliciting of member comments by January 30, 2010 and consideration by the Board at the February 6, 2010 Board meeting.

14.4 Consideration of Revision to Regulation XIV.E.2: Schedule of Penalties for Violations (VA Boating Safety Education Regulation Penalties). (First Reading) (D-09-83)
   Motion by Flynn, second by Buttimer, passed unanimously, that a request for comments on the proposed draft amendment to Regulation XIV.E.2: Schedule of Penalties for Violations, be published in the November 20, 2009 issue of Lake Currents, for solicitation of member comments by January 30, 2010 and consideration by the Board on February 6, 2010.

15. NEW BUSINESS

15.1 Consideration of Special Assessment Payment Options. (D-09-84)
    Motion by Sheridan, second Rowland, to offer an additional assessment payment option payable over two years, $150 per quarter, with a processing fee of $5 per installment for any amounts paid after December 1, 2009. If any member cannot meet the December 1, 2009 payment deadline due to hardship, they may contact the General Manager to arrange for a payment schedule starting March 1, 2010.
    Motion by Kelly, second by Flynn, to have the first $300 payment due December 1, 2009, with three subsequent payments in 2010 of $300 each with no interest charges but with a $4 processing fee for payments 2-4. Vote on the motion: Yea: Kelly. Nay: Darby, Sheridan, Buttimer, Rowland and Flynn. Motion failed 5 to 1.
    Vote on the original motion: Yea: Darby, Sheridan, Buttimer, Rowland and Flynn. Nay: Kelly. Motion passed 5 to 1.
    Motion by Flynn, second by Sheridan, to confirm that the three original payment plan options described in the October 3, 2009 assessment letter from LOWA to its members have been retained as viable payment options, but options 2 and 3 will now have a $5 processing fee rather than an interest charge. Vote on the motion: Yea: Darby, Sheridan, Rowland, Buttimer and Flynn. Nay: Kelly. Motion passed 5 to 1.
   Motion by Sheridan, second by Rowland, passed unanimously, to grant the General Manager authority to enter into any special assessment fee arrangement with members for the payment of fees and assessments.       

15.2 Discussion of Funding for ECC Lot Cleanup Requests.
   The Board entered into discussion with the General Manager to consider financial resource options to pay for the cleanup of member lots that are in violation of aesthetic regulations. It was decided to make no change to the current process of having the Board authorize cleanup on a case-by-case basis, and to put in the 2010 budget the necessary funds for future cleanups. 

16. Member General Comments: One member suggested LOWA contact “The Woods Cares” to help needy homeowners with lot cleanup prior to imposing a fine or paying for cleanup out of LOWA funds; several members thanked the Board for offering a more flexible option for payment of the special assessment; one member spoke to having a Board of Directors Code of Ethics and the need for civil discourse at meetings; a member recommended canceling the Faulconer dam construction contract and continuing to pursue alternatives; it was suggested it might be possible to generate hydroelectric power from the dam and save on energy bills; and several members spoke against continuing with the dam upgrade project.

   Following member comments, Director Sheridan recommended the entire Board consider attending the meeting of the Soil and Water Conservation Board in Richmond on November 19, 2009. He recommended we forward our dam classification Resolution to the SWCB and ask it be placed on the agenda. 

17. Scheduled Meetings:
Regular Board Meeting: Wednesday, November 18, 2009 at 2:00 p.m. in the Community Center.
Regular Board Meeting: Saturday, December 5, 2009 at 10:00 a.m. in the Community Center.

18. Adjournment:  President Kay adjourned the meeting at 12:33 p.m.

Margaret Darby, LOWA Secretary

LAKE OF THE WOODS ASSOCIATION, INC.
Board of Directors Meeting
November 18, 2009, 2:00 p.m., Community Center

 1. Call to Order:
    With a quorum present, President Bruce Kay called the meeting to order at 2:01 p.m. in the Community Center.

2. Approval of Agenda:
     Motion by Buttimer, second by Sheridan, to approve the Agenda.
     Motion by Flynn, second by Darby, passed unanimously, to add Item 6.2: Request for Approval to Enter a Lot for Maintenance. Original motion as amended passed unanimously.

3. Approval of the Minutes of November 7, 2009.
    Motion by Darby, second by Flynn, passed unanimously, to approve the minutes of the November 7, 2009 Board meeting.

4. Approval of Committee Changes.
    Motion by Flynn, second by Darby, passed unanimously, to approve the following Committee changes as requested in the Vice President’s memo dated November 18, 2009: (D-09-85)

5. Member Comments on Business Agenda: There were no member comments on the business agenda.

6. NEW BUSINESS

6.1 Consideration of Performance License Agreement with SESAC. (License for music program at the Clubhouse.) (D-09-86)
   Motion by Kelly, second by Sheridan, passed unanimously, to authorize LOWA to enter into a performance license agreement with SESAC in the amount of $1194.

6.2 Request for Approval to Enter a Lot for Maintenance. (D-09-87)
   Motion by Flynn, second by Kelly, passed unanimously, to authorize the General Manager to enter into a contract in the amount of $750 for tree removal on Lot 269, Section 2. 
 
7. Presentation of Spillway Improvement Project.
    Spillway Project Manager Gregg Newhouse announced this would be an informational meeting for members on the Main Dam Spillway Improvement Project. He reviewed the contractor selection process, and summarized the strengths of Faulconer Construction Company, the successful bidder.
   Mr. Newhouse introduced Jack Sanford, President of Faulconer Construction, who reviewed the history, experience and professional expertise his company will bring to the project. Faulconer Project Engineer Jeff Kirk explained the topographical changes that will be made to the dam in order to install the coffer dam and additional spillway.
   Work on the dam is currently scheduled to start in January, with excavation scheduled for February and a completion date of August/September 2010. The lake level will not have to be lowered during this time.
   Mr. Newhouse then summarized the safety precautions that would be taken during construction, the necessary quality control reviews planned, sediment and erosion controls that will be put in place, and how construction will affect our emergency action plan.
    Following the informational portion of the program, key project personnel fielded questions from members.

   President Kay announced that Board members will be attending the meeting of the Virginia Soil and Water Conservation Board in Richmond tomorrow, but that LOWA has not been added to the SWCB agenda. President Kay will be asking the SWCB and DCR to meet with LOWA to work out an agreement that will result in the Main and Keaton’s Run dams being classified as Class II dams. The basis for this is alternative actions and a climate survey of the possible rainfall amount in a 24-hour period that will be provided to DCR and SWCB by the Association.

8. Member General Comments:  The Board heard comments from eight members who presented various viewpoints on the dam spillway improvement project, and a single comment on the status of the Referendum on the Right of First Refusal.

9. Scheduled Meetings:
    Board Meeting, Saturday, December 5, 2009 at 10:00 a.m. in the Community Center.
    Board Meeting, Wednesday, December 16, 2009 at 2:00 p.m. in the Community Center.
 
10. Adjournment:  President Kay adjourned the meeting at 4:16 p.m.

Margaret Darby, LOWA Secretary
  

LAKE OF THE WOODS ASSOCIATION, INC.
Board of Directors Meeting
December 5, 2009, 10:00 a.m., Community Center
    

1. Call to Order:
    With a quorum present, President Bruce Kay called the meeting to order at 9:00 a.m. in the Community Center.

2. Executive Session:  Motion by Kelly, second by Buttimer, passed unanimously, to enter into Executive Session at 9:05 a.m. 
   Motion by Rowland, second by Darby, passed unanimously, to enter into Open Session at 10:00 a.m, and to affirm that the Board met earlier in Executive Session for the purpose of discussing several personal, personnel, legal and contractual matters.

3. Approval of Agenda:  Motion by Darby, second by Flynn to approve the Agenda.
Motion by Sheridan, second by Buttimer, passed unanimously, to add Item 14.4: Discussion of Clubhouse Pool Area Repairs, to the Agenda. Original motion as amended passed unanimously.   

4. Approval of the Minutes of November 18, 2009.
    Approval of the minutes was deferred to the next Board meeting.

5. Report from Orange County District 5 Supervisor:  Supervisor Lee Frame reported that on Tuesday at 7:30 pm at the Supervisors meeting there will be a Public Hearing on revisions to the proposed ordinances dealing with dogs at-large in Orange County. This meeting will also include deliberations on the budget due to a projected $7 million shortfall.
   There will also be a Public Hearing on proposed sewer rate increases by RSA to service the bond issue to upgrade the sewage plant to meet Chesapeake Bay clean water requirements.

6. Report from Orange County Sheriff: Sheriff Mark Amos reported that for the month of November, there were 2516 calls for service in the county, for a total of 30,769 year-to-date. There were 51 warrants issued, 820 civil papers served, 14 transports and 198 traffic tickets issued. In LOW, there were 50 calls for service, 77 civil papers served and 25 traffic tickets written on Route 3, for a year-to-date total of 379.
   There have been a few break-ins at the strip mall on the Rte. 20 side of Route 3 with items and cash taken. The new middle school site has been experiencing the theft of materials. A suspect has been convicted in a murder case, and a suspect will be charged in the robbery of the Wachovia Bank last March.
  Three staff will be graduating from the Criminal Justice Academy this week. Two will be assigned to patrol and one to animal control.

7. Report from Security: Captain Elliott reported for US Security that there were 112 complaints received in the month of November. There were 14 animal complaints, 3 vandalisms, 3 arrests, 2 accidents, 33 traffic summonses and 99 vehicles registered.

8. Report from LOW Volunteer Fire & Rescue: President Tom Cornell reported for Fire and Rescue that in November there were 42 calls to Rescue from inside LOW and 29 outside, with a total of 71 overall. The Fire Department had 26 calls for the month, 17 inside LOW and 9 outside.
   He recommended Automatic External Defibrillators be reinstalled in all LOW public buildings.

9. Report from Orange County School Board: Representative Jim Hopkins reported that the Health Department has completed the first round of H1N1 flu vaccinations in all schools. Student absence from flu-like illness has gone down to 5% of the previous month’s level, with only a few students sick at this time.
   Last year the School Board adopted a Code of Student Conduct for the schools and sent a booklet home to parents. This is to educate students and parents on the consequences of specific behaviors.

10. Reports from President, Vice President, Treasurer and Secretary:
     President Kay reminded members that the member comment periods at Board meetings are not intended to elicit a response from the Board. He stated that the Board will continue to proceed with SWCB dam upgrade requirements to maintain legal compliance, while simultaneously exploring ways to obtain relief from these requirements. He explained the Board cannot answer individual questions on dam negotiations lest they have an adverse impact on the outcome.  

   Vice President Flynn reported he had no committee changes to report.  He noted the Planning Committee survey proved to be relatively accurate, as 40% of members made the special assessment payment up front.

   Treasurer Kelly’s report is attached as (D-09-88). Briefly, she reported on three areas: the current budget, the capital budget and the special assessment. Our current budget is on track as of October 31. She noted that 1717 (40%) of lot owners paid the special assessment in full by December 1, 2009. About 28% of lot owners have made no payment.

   Secretary’s Report:
   Motion by Darby, second by Flynn, passed unanimously, to bar Shawn Fields and Nestor and Sons, LLC from LOW until their fines are paid in full.

   Motion by Darby, second by Flynn, passed unanimously, to suspend the driving privileges within LOW for Michael Bobonic, Anna Russo, Hillary Kenny and Daniel Thompson for 60 days.

   Motion by Darby, second by Buttimer, passed unanimously, to suspend the driving privileges within LOW of David Robinson and Jessica Robinson for 30 days.

   Motion by Darby, second by Kelly, passed unanimously, to suspend the driving privileges within LOW of Ryan VanHook for 90 days.

11. Report from the General Manager: Mr. Ted Wessel reported that the budget presentations to the Finance/Planning Committees will be held next week in the Community Center.
   He reviewed the collection procedures for members who do not make their special assessment payments on time.

12. Committee Reports: Planning Committee Chair Des Flanagan reported on the status of four major projects: 1) the budget presentations; 2) the Five-year Plan; 3) the Land-Use Study; and, 4) the Planning Committee 2010 Survey. He also commented on the proposed changes to the Bylaw Article V, which is on today’s agenda.

   Finance Committee Chair Dave McKee commented on the proposed changes to the Committee Charters in the By-Laws. Representing the Clubhouse Committee, he reminded members of the Holiday Party on December 13, 2009 from 1-4 p.m.

13: Member Comments on Business Agenda:  One member encouraged the Board to reinstall the defibrillators in LOWA public areas and reviewed multiple issues of liability, availability, accessibility, maintenance and staff training relative to these devices.

14. OLD BUSINESS

14.1. Consideration of Request to Purchase LOWA Property. (D-09-89)
   Motion by Buttimer, second by Rowland, to accept the proposed boundary line adjustment and easement changes to Section 2, Lot 323; and authorize the General Manager to enter into negotiations on this matter. Vote on the motion: Yea: Buttimer, Rowland, Sheridan and Kelly. Nay: Darby and Flynn. Motion passed 4 to 2.

14.2 Consideration of Proposed Amendment to LOWA By-Laws Article V, Section D.2. (Second Reading) (D-09-90)
   Motion by Sheridan, second by Buttimer, to approve the replacement of Article V: Organization, Paragraph 2 of Section D: Committees, of the LOWA By-Laws.

   Motion by Darby, second by Kelly, passed unanimously, to amend the motion to consider each of the proposed changes to Article V. individually, as annotated on the copy of Article V. distributed to each Board member.

   Motion by Flynn, second by Kelly to delete the following language from the proposed replacement Paragraph 2: “unless the Board of Directors approve a specific exception to these guidelines which must be listed in the special characteristics of the Committee Charter.” Vote: Yea: Flynn and Kelly. Nay: Rowland, Buttimer, Sheridan and Darby. Motion failed 4 to 2.

   Motion by Rowland, second by Buttimer, passed unanimously, to add the Nominating Committee and the Elections Committee to the list of committees in sentence 5 of Bylaw Article V, Section D., Paragraph 2.a.: Composition.

   Motion by Rowland, second by Buttimer, to delete the first and fourth sentences from Bylaws Article 5, Section D, Paragraph 2.(a): Composition. Vote: Yea: Kelly. Nay: Buttimer, Darby, Sheridan, Flynn and Rowland. Motion failed 5 to 1.

   Motion by Darby, second by Flynn, failed unanimously, to delete the language “when selected by the chairperson” in the second sentence of 2.(c): Voting, and add at the end of the paragraph: “The alternates chosen should be the most senior alternates that have not previously been voting members.”

   Motion by Darby, second by Kelly, to delete the proposed change to Paragraph (e): Authority. Vote: Yea: Kelly, Flynn and Darby. Nay: Buttimer, Sheridan and Rowland. President Kay voted “yea” to break the tie. Motion passed 4 to 3.

    Motion by Darby, second by Sheridan, passed unanimously, to delete the proposed language “when the contract is initiated by the Committee members and concerns committee business” from Bylaw Article V.D.2.(g).1: Information Gathering.

   Motion by Buttimer, second by Rowland, to add the language “through the General Manager” to the end of the first sentence of Bylaw Article V.D.2.(f): Reporting Responsibilities. Vote: Yea: Buttimer and Rowland. Nay: Darby, Flynn, Sheridan and Kelly. Motion failed 4 to 2.

   Original motion to approve the replacement of Bylaw Article V., Section D.2. as amended passed unanimously.

14.3 Discussion of Policy Regarding Automatic Electronic Defibrillators (AEDs).  (D-09-91) 
    Motion by Rowland, second by Buttimer, passed unanimously, to authorize the General Manager to implement the installation of AEDs in all public buildings on LOWA property, in cooperation with LOW Volunteer Fire & Rescue, Inc.

14.4 Discussion of Clubhouse Pool Area Repairs. (D-09-92)
   Motion by Sheridan, second by Darby, to authorize the General Manager to determine the cost to repair the pumps, filters, decking and accessories of the Clubhouse pool prior to May 1, 2010.

   Motion by Buttimer, second by Sheridan, to amend the motion to indicate the work will be completed prior to the opening of the 2010 pool season. Vote: Yea: Buttimer, Sheridan, Darby, Flynn and Rowland. Nay: Kelly. Motion passed 5 to 1.

   Vote on the original motion as amended passed unanimously.

15. NEW BUSINESS

15.1 Discussion of Stormwater Management Guidance Report.
    Discussion was deferred to the December 16, 2009 Board meeting.

15.2 Discussion of Senior Housing. Planning Committee member Don Cope provided a slide presentation on senior housing considerations for LOW. The Committee suggested LOWA hold a public hearing to get input from members before the Board makes any decisions.

16. Member General Comments: The Board heard comments from six members on issues concerning the dam upgrade, assessment payments and the need to pass the referendum on Paragraph 17.

17.Scheduled Meetings:
      Board Meeting, Wednesday, December 16, 2009 at 2:00 p.m. in the Community Center.
      Board Meeting, Saturday, January 2, 2010 at 10:00 a.m. in the Community Center.

18. Adjournment: President Kay adjourned the meeting at 1:02 p.m.

Margaret Darby, LOWA Secretary

LAKE OF THE WOODS ASSOCIATION, INC.
Board of Directors Meeting
December 16, 2009, 2:00 p.m., Community Center

1. Call to Order:
   With a quorum present, President Bruce Kay called the meeting to order at 2:03 p.m. in the Community Center.

2. Approval of Agenda:
   Motion by Sheridan, second by Kelly, passed unanimously, to approve the Agenda.

3. Approval of the Minutes of November 18, 2009 and December 5, 2009.
   Motion by Darby, second by Rowland, passed unanimously, to approve the minutes of November 18, 2009.
   Motion by Darby, second by Kelly, passed unanimously, to approve the minutes of December 5, 2009.

4. Approval of Committee Changes: There were no Committee changes at this time.

    President Kay reported that he received a phone call from Delegate Scott, who told him he has been appointed to the transition team for the Agricultural Secretary and that he is also working with some of the people on the Natural Resources transition team. They have asked him to contribute to the package we are going to be presenting to Governor McDonald’s transition team and the new Secretary of Natural Resources on reclassification of the dam. Things are still progressing down in Richmond on this front.
   Director Rowland suggested the Planning Committee Senior Housing subcommittee, rather than the Association, hold a public forum to get input from the members on senior housing before the Board makes any decision.

5. Member Comments on Business Agenda: There were no member comments on the Agenda.

6. OLD BUSINESS

6.1 Discussion of Stormwater Management Guidance Report.
   Board members entered into a discussion on the proposed plan of action and time schedule for remediation of stormwater erosion and sediment issues, including nonfunctioning channels and culverts on private lots. Jessica Graves, LOWA Sediment and Erosion Inspector who prepared the plan of action report for the Board, answered questions from several Board members concerning costs, priorities and scheduling for the work, and the process of notifying lot owners. Jessica will meet with affected homeowners to answer questions in January
   The General Manager said the LOW Administration office will provide a list of contractors for homeowners who need work done.
   The Board unanimously agreed to move forward with the plan as presented.

6.2 Discussion of Pools.
   Assistant General Manager of Facilities, Elton Rupe, responded to questions from the Board on his Memo dated December 11, 2009 in which he provided an estimate of costs to repair the pumps, relocate the filters, and replace decking and accessories at the Clubhouse Pool. He cited safety issues, pros and cons of consolidating the scope of work, cost effectiveness of the options, and addressed the time needed to complete all the work necessary prior to opening the Clubhouse pool for the 2010 pool season.

7. NEW BUSINESS

7.1 Discussion of Vision Plan:
   The Board entered into a discussion of the updated Vision Plan. Director Buttimer suggested the name be changed to the “Strategic Plan”, and any action of the Board deferred until there is a Five-year Master Plan available from the Planning Committee.
   Director Darby suggested a town hall meeting to get additional member input on the Vision Plan.
   Director Sheridan proposed a professional survey of members to come up with strategies that can be prioritized.
   By consensus, the Board decided to await receipt of the Planning Committee’s Five-Year plan update in February before taking any action on the Vision Plan.

7.2 Discussion of Books and Record Retention Policy: The General Manager recommended this item be tabled to allow time to gather additional legal and financial information.
   President Kay deferred further discussion and action to the January 20, 2010 Board meeting.

8. General Member Comments: Three members addressed the Board. One member reminded the Board of the master plan for a Pool and Fitness complex still available for consideration, and another questioned the necessity of the dam upgrade. Boggs Wright reported for the Finance Committee that last week they held budget hearings.  The Committee is developing an informal list of suggestions they will be passing along to the General Manager. On January 4, 2010, the Committee will be voting on specific recommendations to make to the Board and GM for changes to the budget.

9. Scheduled Meetings:
    Board Meeting, Saturday, January 2, 2010 at 10:00 a.m. in the Community Center.
    Board Meeting, Wednesday, January 20, 2010 at 2:00 p.m. in the Community Center.

10. Adjournment:  President Kay adjourned the meeting at 3:11 p.m.

Margaret Darby, LOWA Secretary